Tesco Bank is to begin offering pet insurance plans having established a partnership with Royal and Sun Alliance (RSA). RSA will help the newly branded bank to underwrite policies as well as assisting in claims management, helping Tesco Bank to fulfil its plans for diversification while giving RSA a place in the pet insurance market. The supermarket turned bank is not expected to begin offering pet insurance until the final quarter of 2010, though Tesco is already the UK’s largest online pet insurance provider with an estimated 700,000 pets covered by its plans.
Owners of animals who have insured their pets via Tesco will gradually be migrated to RSA in the coming years, with 230 new jobs set to be created to help the insurer cope with the demand. Premium income of around £100 million is forecast for the first year, while animal owners will be hoping that greater competition will prompt cheaper policies for their cats, dogs or other pets.
Animal charities have urged pet owners to take out pet insurance policies in order to protect themselves against any unexpected vets bills.
Tesco Bank and RSA Form Pet Insurance Partnership
Fri, 07 May 2010
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