The Otley-based Private Health Partnership Ltd (PHP), part of the Skipton Building Society group, has acquired a 75 per cent shareholding in the care advisory service company, RED ARC Assured Ltd (RED ARC).
RED ARC provides tailored care, advice and help to people with serious illness or disability.
The company has developed a range of services that stand alone or are included within selected insurance products, typically in the life, health, and protection sectors, such as critical illness insurance. Currently it works closely with AIG, Bright Grey, CIS, Liverpool Victoria and Scottish Equitable (Employee Benefits) in the financial sector as well as the fifth largest trade union in the UK, PCS (Public and Commercial Services), which has 315,000 members. RED ARC also provides services to nearly half of the Police Federations in the UK.
Jan Lawson, managing director of PHP, says: "We have known RED ARC since its inception and followed its progress closely. RED ARC has established its own market and the position within that market, and the client base it now enjoys is testament to the company's success. This business is very complementary to our own and we can see excellent cross selling opportunities for the benefit of both organisations. RED ARC has no real competitors which is also extremely attractive."
RED ARC will become a subsidiary of PHP and will retain its own separate brand identity. Established in 1998, it is based in Hove, Sussex. There are plans to open a second RED ARC office in the north early in 2007. Under the deal, Ms Lawson becomes chairman while Richard Thomas remains as a significant shareholder and managing director, with overall day-to-day management control.
This is PHP's fifth acquisition since September 2003. Recently it acquired the medical insurance portfolio of JSP Medical Insurance Services, based in Dunstable, Bedfordshire.
PHP was launched by Ms Lawson in 1989 when she was working weekends and nights in a pub to make ends meet. Her aim is to achieve a £50m annual turnover within the next two years.
It is one of the largest independent UK private medical insurance intermediaries with over 7,000 clients and premium income in excess of £30m. It became part of Skipton Building Society Group in November, 2002.
Private medical insurance : News update: January 2007
