RE: New DLG1 Apr 2023 10:09
One of the reasons Direct Line floundered was down to pricing. The premium didn’t increase quickly enough to cover the increasing claims spend ( delays getting parts because of covid / war/ Brexit, Cost of second hand cars increased/ care costs through the roof). Penny ( ex CEO) issued a share buy back in a March 2022 which in hindsight was poorly timed. They are a strong brand but Premiums will have to increase and waits to be seen if this drives customers away. IT isn’t great but Ash Jokhoo (started 2021) has started the implement changes which seem to make the system run smoother. Jon Greenwood is acting CEO, worked for the group for years, but we are waiting a new CEO. I don’t think things will change overnight but I do see green shoots.