Why Direct Line's disastrous profit warning should matter to brokers
Direct Line's profit warning sent shockwaves through UK insurer's share price yesterday, with Aviva and Admiral also suffering. Personal lines brokers should notice the problems Direct Line faces, as they are industry-wide and give insight into what to expect in 2023.
It’s back to square one for Direct Line Group. Ten years ago, the group floated at 200p per share. After yesterday’s disastrous profit warning, the share price has fallen below the initial public offering level, and is currently trading at 177.6p.
For those brokers who are long in the tooth, they will remember when Direct Line was the trailblazer that cut out the broker and lured customers to go direct almost four decades ago. It owns NIG, but many won’t be shedding any tears if under-fire CEO
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