British insurer Legal & General (L&G) is reportedly planning to divest its general insurance business, a deal which could fetch it more than £300m.
The London-based insurer has hired investment bankers from Fenchurch Advisory Partners to manage the sale of the business, Sky News has reported.
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The move comes three years after a previous attempt to offload the general insurance business did not yield any result.
L&G’s general insurance business, which offers home and contents insurance products and services, is said to be the sixth largest in the UK.
Acquisition of Buddies Enterprises in October last year enabled the insurer to gain a small share of the pet insurance market in the country.
The operating profit of L&G general insurance arm decreased 29% to £37m in 2017, driven by higher non-weather-related household claims. During the same year, the unit had gross written premiums of £369m.
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By GlobalDataGeneral insurance business represents only a small part of L&G’s wider business that also encompasses asset management and pension business.
The company, under its new CEO Nigel Wilson, is working to offload non-core assets.
In December last year, L&G signed an agreement to sell its Mature Savings business to the ReAssure division of Swiss Re for £650m.
