Scottish Life is setting up a new protection business in Edinburgh, solving the mystery surrounding the identity of the new Scottish player. It is understood to be headed by former Scottish Provident head of marketing and business development David Robinson.
Money Marketing understands ScotLife has been recruiting former ScotProv staff who have left since the takeover by Abbey National and merger with Scottish Mutual, to build a new company specialising in protection.
Scottish Life is believed to be offering salary increases of up to 40 per cent to key marketing and sales staff from ScotProv.
The business is thought to be likely to operate under a new brand name and through the IFA channel, although direct sales is also a possibility in the long term.
ScotLife parent company Royal London has been keen to get in to the protection market. It lost to Abbey National at the last hurdle in the bidding for ScotProv before turning its sights to ScotLife.
The move means ScotLife will join the ranks of Scottish Equitable, which has recently launched its Protect business, and Liverpool Victoria which bought Permanent Insurance. Standard Life has also announced plans for building up its protection offering, which could see it relaunched and rebranded as a new arm of the firm.
ScotLife head of communications Alasdair Buchanan says: “Our interest in the protection market has been well documented and is being reviewed as part of our business going forward with Royal London. We have a number of ideas about the best way ahead and these are being examined. Once we have sorted it out internally, we will make an announcement.”