Carole Nash in the fast lane as profits surge 20%

CAROLE Nash, the specialist motorcycle insurer, was in the fast lane today as profits leapt 21% to a record £7.6m.

The Altrincham company, named after its founder, who sold the business to French company Groupama in 2006, said new product launched, increased operational efficiencies and a surge in online activity were behind the profit hike from £6.3m in 2007. Turnover was fractionally highert at £25m, againts £24.9m in 2007.

New related products launched last year included ‘add-on’ policies such as one covering bikers’ helmets and leathers, and another for personal accident cover
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At the same time the company secured a £1.2m reduction in administrative expenses through greater operational efficiencies. Previous investment in carolenash.com was also rewarded as site traffic increased significantly, resulting in considerable growth in volumes of business transacted online and directed to the company’s call centre via the web.

Carole Nash has 330 staff, the majority at its HQ and repair centre in Altrincham whiole a smaller number operate at its Dublin office.

Chief executive David Newman, who joined the company in September 2007, said: “These results are particularly satisfactory and demonstrate our continued ability to both innovate and effectively manage our cost base.

“Our continued investment in systems and people development, together with a greater focus within our corporate structure on customer-facing roles, have generated major efficiencies and reduced our cost base. We have also backed the brand with highly targeted and effective marketing, including new sponsorship deals for the UK’s biggest bike event, the Carole Nash International Motorcycle & Scooter Show, and a series of major classic motorcycle shows.”

Mr Newman said the company was looking to buy smaller rivals’ motorcycle insurance books, adding:  “We’re not interested in brands because we have the best known and respected in the sector, but we are interested in units.”

He also revealed that Carole Nash will this Spring unveil new lines and rates to Irish bikers and launch a dedicated website for Ireland where it has an estimated 50% market share. Its UK market share is around 25%.