Carole Nash grows profits as it hits 30

CAROLE Nash, the country’s largest motor cycle insurer, defied a slump in premium income to increase profits slightly in its 30th year of trading.

The company, which has 400 staff mostly based in Altrincham, south Manchester, was founded by Carole Nash at the kitchen table of her home in November 1985.

She sold the business six years ago to French insurer Groupama, but has retained a strong attachment to the business which continues to bear her name.

Carole and her husband Fred will be guests of honour at a gala dinner to celebrate the company’s anniversary later this year, current chief executive David Newman said.

Mrs Nash, now in her 70s, who since selling the business has devoted time and money to supporting many good causes around the region, said: “I am proud and delighted to see the business I founded all those years ago, go from strength to strength.”

In the year to December 31 2014 Carole Nash’s profits crept up from £3.93m to £3.95m on turnover of £23.3m, down from £24.8m the year before.

Chief executive David Newman, who has been with the business for eight years, said the results represent: “a strong performance and evidence that we enter our fourth decade in a stronger position than ever”.

During the year Carole Nash, saw growth in both policy numbers and market share, with the company now providing cover for 25% of bikers in the UK and nearly 50% of those in Ireland.

As well as its core brand, Carole Nash also offers specialists products for performance and classic cars and operates the Scoot and Commute, Just Motorcycle Insurance and Harley-Davidson Insurance Services brands.

This year it launched Rider Cover as standard on its policies, enabling bikers to ride their friend’s bikes for free.

The increase in profits followed a drop between 2012 and 2013, with the lower turnover figure for this year due to the most extreme year of softening motorcycle rates in memory – due to new competitors entering the market offering cheap deals. The company offset this by cutting costs by outsourcing some areas of non-core operations.

David Newman, chief executive, said: “The industry has experienced a perfect storm in the past year of increased competition, little movement on the size of the market and the softening of premiums. We are proud that as a business we have still managed to deliver an increase in profits whilst keeping our promise to our customers of giving their bikes the ‘care it deserves’.

“Furthermore, 2015 is looking even healthier with indications being that we are £1m up on profits for the first half of the year.

“Carole Nash continues to build upon its position as the number one motorcycle insurance brand in the UK and Ireland. We continue to see an increase on the number of customers within our core business whilst also focusing resources on potential growth areas.

“In our 30th year, these results indicate that we are staying faithful to the principles and objectives set down by Carole Nash herself when she established the business back in 1985, whilst remaining dynamic and forward-thinking.”

Other developments in the year included the first full year of trading of Carole Nash Legal Services LLP, a venture based in Bristol and Cardiff and in partnership with NewLaw solicitors that provides expert legal help to customers, as well as continued roll-out of the company’s Future Classic, Classic and Vintage policies.