This morning we published our annual results for 2017.
You can read our news release which talks about our work last year, the things we’ve done recently and what comes next.
Please also have a look at Steve’s message to all colleagues which includes how we’re doing across Co-op, and has news about a big expansion of our Co-op Academies Trust and a new business acquisition in Co-op Funeral and Life Planning.
Here’s how we’re doing in Co-op Insurance.
On a like-for-like basis, our revenue grew by 8% in 2017 reflecting the investment we’re making in pricing capability. Our underlying operating profit in 2017 was in line with last year at £11m (2016: £11m). Our operating loss, which includes the one-off costs associated with our transformation plans, was £12m (2016: £18m loss).
At the half year we reported that our contract with IBM to upgrade our IT systems had been terminated and we were exploring alternative technology options. This hasn’t stopped us continuing to transform our business. We’ve started to see the benefits of this with more focus on customer service innovations and new product development.
As you’ll know, the insurance market as a whole in the UK remains fiercely competitive, with our strategy continuing to focus on meeting more of the insurance needs of more of our members and offering a wider choice of fairly priced insurance products.
There was much last year that showed how Co-op Insurance is staying relevant in the market. In September we tested the UK’s first ever car insurance quote chatbot. We’re working with Neighbourhood Watch to make communities safer by testing how we can help vulnerable homeowners by using smart technology that reduces burglaries. In July we launched Park Smart, a new digital interactive map which aims to help people make informed choices about where to park their car. We were also the first major UK insurer to offset a proportion of customers’ carbon emissions as standard.
To create a stronger Co-op and stronger communities through our Insurance business we’re working to increase the range of the products and services we offer our members.
Our new ground-breaking travel insurance product, launched in January, is an example of how we plan to do this by working closely with our members to understand their needs and using a third party insurer to reduce our commercial risk.
We’ll continue to develop new products during 2018 with the ambition of covering more of our customers’ insurance needs in the coming years.
We’re continuing to make good progress and I’d like to thank you all for your continued hard work and dedication.