The Biz: Strong performances boost Aviva profits.INSURANCE giant Aviva, owner of Norwich Union Norwich Union is an insurance company in the UK. It is the biggest life-insurer in the UK, and has a strong position in motor insurance. It is part of the Aviva group, itself created by a merger of Norwich Union and CGU plc in 2000. , beat most profit forecasts today with half-year figures of pounds 1.32bn.
The company, which employs about 600 staff at its Norwich Union operations in Liverpool, said the 21% improvement on last year was due to strong performances in general insurance and at its European arm.
Chief executive Richard Harvey hailed the figures for the six months to June 30 as a 'very good' result, but said they included a lower profits figure from the UK life and pensions business. The RAC See remote access concentrator. - bought for pounds 1.1bn earlier this year - featured in the company's results for the first time, with the integration of the motoring organisation said to be moving quickly.
In general insurance, which focuses on cover for household and motoring, Aviva said its UK business produced excellent results with operating profits up to pounds 431m from pounds 364m.
The company said the improvement reflected disciplined underwriting Underwriting
1. The process by which investment bankers raise investment capital from investors on behalf of corporations and governments that are issuing securities (both equity and debt).
2. The process of issuing insurance policies. and efficiency savings following a drive for a pounds 240m reduction in annual claim costs