Tesco Personal Finance is switching from Norwich Union to Direct Line for its life insurance products after a five-year partnership with the company.
The decision was met with some disappointment by Norwich Union, but Tesco says that it wants to switch to Direct Line because the insurance company has a faster application procedure.
Tesco Personal Finance spokesman, Stuart Neill, said of Direct Line: "They have got one of the better application procedures in the marketplace. They are not a big insurer. What they do have are extremely advanced procedures."
However, Norwich Union will still continue to honour the life insurance contracts it already holds with Tesco Personal Finance.
Direct Line is owned by the Royal Bank of Scotland, which also owns half of Tesco Personal Finance.
Tesco has also announced a new partnership with National Savings and Investments (NS&I) this week. The supermarket will soon be selling Premium Bonds and Index-linked Savings Certificates as part of the pilot scheme with NS&I.
The new products will be available in Tesco stores by the end of the year. to read more about [Life Insurance], click here.
© Adfero Ltd