The leaders of insurer LV= made a commitment to keeping its mutual status at its AGM on 18 October, less than a year after members rejected moves to sell it to US investor Bain Capital.
The deal, which sparked a huge campaign to preserve LV=’s mutual status, was put to members in December 2021, but only secured the support of 69.4% of voting members – just short of the three-quarter threshold.
Since then there have been changes at the top, with former Bupa boss David Hynam drafted as CEO, replacing Mark Hartigan who had come under fire for his role in the attempted Bain deal.
Hynam has previously served as CEO of Bupa’s UK and Global markets, UK CEO of Friends Life and chief operating officer of AXA. Upon his appointment, LV= chair, Simon Moore called hin “the ideal candidate to build a strong and sustainable future as a mutual life and pensions business”.
He added: “As well as his commercial and technical knowledge of the insurance sector and financial services, it is David’s values-driven approach and strong track record of business transformation and growth that makes him the right person to lead LV into the next exciting phase of its future as part of a resurgent mutual sector.”
At the AGM, held in Bournemouth, Moore said members voting the deal down showed that they “valued mutuality, and they valued membership. This board, your board, is committed to that mutual future. We are here to make a mutual future work for you.
“LV= today, under new leadership, will hold transparency and fairness at the heart of what we do. We are going to build a company in the co-operative spirit, standing alongside one another as our founders in the nineteenth century did. This will be a truly successful company focused on your long-term benefit.”
Hynam told the AGM: “This is a new chapter for LV= and we have to be able to compete in the areas where we are strong. Although we are facing a period of unrivalled economic uncertainty and a challenging market, we must remain focused on our specialised offering, where we are consistently strong and where we are delivering real growth in the business.”