Allianz's LV purchase will reduce competition, warn brokers
Allianz's purchase of 49% of LV’s general insurance business will decrease potential choices in the UK's personal lines sector, brokers have said. The insurance companies' partnership will create a £1.7bn premium personal lines business operating under LV branding, with Allianz planning to eventually own 69.9% of LV for £713m in total. Brokers are concerned there will be a lack of variety in underwriting, with a small market to choose from.
However, experts also see opportunities rising from the merger.

Following the announcement from Allianz that it has bought 49% of LV’s general insurance business, brokers have stated that the coming together of the two providers will reduce choice in the personal lines market.

Allianz noted that the move will see the insurers join forces to create a £1.7bn premium personal lines business under the LV brand, with the insurer planning to own 69.9% long term, paying £713m in total.

While brokers were not surprised by the deal, following market speculation