Legal & General appoints Bernie Hickman as Chief Executive Officer of Combined UK and US Insurance Division
Legal & General Group Plc (“Legal & General”) has today announced the formation of a new division: Legal & General Insurance (LGI), under the leadership of Bernie Hickman (photo).
Legal & General has successfully built Legal & General Investment Management (LGIM) and Legal & General Retirement (LGR) into international growth businesses. LGIM entered the US with $18 billion in funds in 2005. It now manages $133 billion for over 180 clients. LGR did its first pension de-risking transaction in 2015 in the US, and now has written over $500 million in pension transactions, and made its first infrastructure investment there.
The new Insurance division will have over 7 million customers in UK and the US, and provide life insurance, critical illness cover, and income protection to individuals and company employees.
The UK insurance business is a multi-channel, multi-product business, using technology to deliver great customer service with cost and scale efficiencies. The new Insurance division will aim to grow and develop its US business into a multi-channel and multi-product business, by leveraging its UK insurance expertise, scale and technology in the US.
Nigel Wilson, Group CEO said: “Bernie is a proven successful leader. Legal & General has two large successful international businesses, Legal & General Investment Management, and Legal & General Retirement. We are now developing our third international business, our insurance business.”
Bernie Hickman, Chief Executive Officer, Legal & General Insurance added: “The US, with our strong insurance franchise and international track record of LGIM and LGR, is a great place to build our insurance business. Technology is playing an ever-increasing role in all areas of the UK and US insurance markets, with digital marketing and straight through processing becoming ever more important. It’s therefore a great opportunity and an exciting time to combine our UK and US expertise, technology and insights, to grow our existing businesses and establish new, digital insurance businesses in selected international markets.”
Bernie Hickman was Managing Director, UK Protection business from 2005 till 2010. He launched the UK Protection digital platform, OLP Connect. It provides market leading self-service functionality and high levels of straight through processing. UK protection through organic growth now has a market share of over 25%. He became CEO of Legal & General Home Finance and MD of Individual Retirement in 2014, where he launched its digital platform for lifetime mortgages, achieving a 25% market share within the first year. He has also held the positions of Group Financial Controller and Investor Relations Director.
The UK Retail Protection business provides life insurance, critical illness cover, and income protection to over four million customers, has over 25% market share, and 80% straight through processing. The Group Protection business provides two million company employees with life or income protection, and has over 15% market share. Legal & General America has over a million life insurance customers , and $1.2 billion of gross written premium.
For more information please contact:
Head of Group Corporate Communications
t: +44 (0) 20 3124 2095
m: +44 (0) 7515 324001
Doug Campbell, Tulchan
t: +44 (0) 20 7353 4200
Laura Doyle, Head of Investor Relations
t: +44 (0) 20 3124 2088
Sujee Rajah, Investor Relations Manager
t: +44 (0) 20 3124 2047
Notes to editors:
Legal & General Group Plc:
- Established in 1836, Legal & General is a leading provider of insurance, savings and investment management products in the UK. The Group has a market capitalisation of £12.7bn (as at 7th November 2016) and is responsible for investing £841.5bn worldwide (as at 30 June 2016) on behalf of investors, policyholders and shareholders.
- Legal & General has over seven million customers in the UK for life assurance, pensions, investments and general insurance plans and over one million customers in the US who rely on us for life assurance.
- In 2015, Legal & General's operating profit (IFRS basis) was £1,455m and adjusted earnings per share were 18.58p for the period, an increase of 14% and 11% respectively. For H1 2016 Legal & General’s profit before tax was £826m and adjusted earnings per share were 11.20p for the period, an increase of 23% and 14%.
- Bernie Hickman’s appointment is subject to regulatory feedback.
For more information on Legal & General, please see http://www.legalandgeneralgroup.com/
This announcement may contain certain forward-looking statements relating to Legal & General, its plans and its current goals and expectations relating to future financial condition, performance and results. By their nature, forward-looking statements involve uncertainty because they relate to future events and circumstances which are beyond Legal & General’s control, including, among others, UK domestic and global economic and business conditions, market related risks such as fluctuations in interest rates and exchange rates, the policies and actions of regulatory and Governmental authorities, the impact of competition, the timing impact of these events and other uncertainties of future acquisition or combinations within relevant industries. As a result, Legal & General’s actual future condition, performance and results may differ materially from the plans, goals and expectations set out in these forward-looking statements and persons reading this announcement should not place reliance on forward-looking statements. These forward-looking statements are made only as at the date on which such statements are made and Legal & General Group Plc does not undertake to update forward-looking statements contained in this announcement or any other forward-looking statement it may make.