Money Marketing has learnt that an executive meeting has been scheduled for two to three weeks time to decide its future. It has been closed to new business since summer after technical problems. It is thought to have cost £150m to set up and run.
A source close to the provider says: “Norwich Union has said it is committed to carrying on with a wrap proposition but the question is whether it bins what it has at the moment and starts from scratch, buys someone else or continues to work with what it has got.”
An NU spokesman says: “Norwich Union Life has previously made various commitments to reduce its overall operating costs while continuing to drive through improvements to service. We are looking at a range of options. However, no decisions have been made yet.”
CWC Research senior partner Clive Waller says: “I do not see how NU can go without a wrap proposition. It would leave it at a significant competitive disadvantage. NU has thrown an awful lot of money at Lifetime which would make it very difficult to abandon. It is a horrid decision that no doubt it will be sweating over.”