UK’S CLUB DIRECT CLAIMS TO HAVE INCREASED MARKET SHARE

UK-based travel insurer Club Direct claims to have tripled its growth rate in new business this year, IFD ’s sister publication Retail Finance Direct reports today. The company said that an online sales service launched three months ago was now generating 10% of premium income. It attributed the growth to an aggressive pricing and marketing strategy launched at the end of last year, plus the introduction of a loyalty business model. Managing director Brent Escott said that direct providers continued to win an ever-greater proportion of the travel insurance market at the expense of travel agents and tour operators, whose cut has fallen to 68% from 84% in 1994. He added that he expected direct providers to win a third of all travel insurance sales by 2010. Meanwhile privately owned Club Direct is looking to raise capital of between £3m and £5m to pay for expansion.