Tesco, Aviva join hands to offer life protection
27 June 2012
Supermarket Tesco and insurer Aviva have joined hands to target the estimated three in five UK families who do not have life protection cover.
Edinburgh-based Tesco Bank offers credit cards, savings, personal loans and general insurance to 6.5 million customers and the deal is expected to widen its range of life insurance and critical illness protection products.
The five-year agreement with the UK's biggest insurer will start later this year and see products sold online and over the telephone, with customers also able get information through some of Tesco's 2,900 stores.
The insurer currently provides a private medical insurance scheme for Tesco's 300,000 UK employees and had a similar tie-up with the supermarket in 2005.
The coming months are expected to see Tesco Bank also enter the UK mortgage market. The mortgage range though has been delayed due technical glitches in moving its existing loan and savings products onto a new IT system.
The company's products are advertised by former Fast Show star Paul Whitehouse and while it counts over 14 million customers it is hoping to grow its life protection business and believes three in five families are currently not covered.