Direct Line Insurance Share Discussion Threads

[city1911] 09/5/2024 09:52

Get the 10th July in your diary for the next big announcement

[tuftymatt] 09/5/2024 08:49

Takeover news and we quickly get back to circa 240 I think.

Without it the company continues to push on and all the mistakes of the past get ironed out. Then by year end we could be back at 240 anyway in my opinion.

I am doing my own car insurance quotes at the moment and my renewal is 29.75% higher. The best I can find by using all the comparison sites etc is 26.9% up!! Nothing has changed so it's clear, just like last year, they are all whacking the prices up still.

Good luck all 👍🏻

[jubberjim] 09/5/2024 08:43

just been paid @193.50 for a small amount

Still not confident but all good for the average

[triktrak] 08/5/2024 14:04

FTSE 250-listed motor insurance firm Direct Line Insurance Group PLC (LSE:DLG)’s first-quarter results were given thumbs up from analysts today.

Jefferies said the group is making “reassuring progress”, with estimated written margins maintained above 10% while motor margins “continue to develop in line with expectations”.

One downside, according to Jefferies, was the 1.8% dip in in-force policy count, “which is the only disappointing takeaway from the Q1 update in our view”.

Regardless, the investment bank gave the stock a buy rating with a 240p price target.

Peel Hunt’s price target is slightly lower at 230p, though the broker sees upside in the motor insurance sector to come.

“Overall, it appears that the UK Motor market has reached a pause, and we expect that the strong rate increases from 2023 will begin to yield results in 2024,” said Peel Hunt analysts.

[nellynell] 08/5/2024 11:23

Lol insurance prices gone up across the board not just direct line all they are doing is playing catch up to the rest who were quick to raise their prices. Solid foundations being relaid here to build up from. Cut out the noise this is a good recovery play now. Dividends galore :-)

[my retirement fund] 08/5/2024 09:46

SELL: 434,000 Direct Line motor customers walk out the door. A headline figure of a 35 per cent rise in average premiums is somewhat flattered by better rates being offered to new customers. Anyone renewing motor insurance over the quarter at Direct Line was whacked with a 38 per cent price hike and ought to be considering their loyalty.

[huckers] 08/5/2024 08:34

wba1. Any thoughts on the Trading Update you can share? With thanks in advance!

[carpingtris] 08/5/2024 07:49

Blue finish today? ;)

[laurence llewelyn binliner] 08/5/2024 07:43

Some holders sell the news no matter how it looks, the share will bottom, bounce, strengthen, +15% margin growth is excellent, sooner or later that will translate into profits and increasing dividends..

We have seen a positive start to 2024 trading, with double digit gross written premium growth in our Motor, Home and Commercial businesses and overall growth for ongoing operations of 15.0%. Claims trends and Motor margins continue to develop in line with our expectations. We have announced a number of significant hires over the last few weeks. I am confident that with the new leadership team in place, we can deliver run-rate annualised cost savings of at least GBP100M by the end of 2025 and a net
insurance margin, normalised for weather, of 13% in 2026.

[jrphoenixw2] 08/5/2024 07:38

... and the share price continues south... sigh.

It notes a further update will come in Capital Markets Day 10/July. That's the thing with this share, you're always left waiting/hoping on the future...

ps. I was coming to this BB to note a price gap up formed between Friday's close 186.5p (the I/D high had been 187.50) and the Tuesday low at 187.70p. But that had been filled this morning before I could note it...

[laurence llewelyn binliner] 08/5/2024 06:06

15% growth, that will do very nicely.. :o)On the road to some decent dividends again as the turnaround strategy gets implemented and delivers results..

[laurence llewelyn binliner] 07/5/2024 16:27

Q1 trading update in the morning, see how we are getting along with our new leadership and team appointments.. :o)

[swiss paul] 02/5/2024 18:59

More Brucy bonuses as well. More money being spaffed.

WBA - Do they have an actuary at board level - I think not, and that is where the problem lies

[carpingtris] 02/5/2024 16:18

More changes at the top!

[johnkidd1] 29/4/2024 09:55

A bummer for anyone who held shares as they dropped but an oppertunity for profit as management rectifies mistakes of the past. Graph shows a solid up channel recovery with higher highs and lows. Just a buy and sit on stock as improved margins and cost cuts boost profits.

[wba1] 10/4/2024 09:30

fllegend; in my experience the Chief Strategy Officer of a group would have no more involvement in reserving than the HR director - limited to whatever discussion took place within the executive team, which would be guided by the CEO and Actuarial Director. The same applies as deputy CFO. Unless that role had specific reserving responsibilities, which seems unlikely, his involvement in the issue would be similarly constrained. Reserving, in my experience, is a black art kept close by CEO's as their main lever for managing profit flow. They will tend to listen only to the key players directly involved in the process (the top actuary and claims person). My focus on the actuary is that it is they who are responsible for the technical work which informs the CEO's decisions on this matter. There are 2 key technical issues; first, are the case reserves being set adequately. Implementing this is for the claims director(s), but the actuaries should spot it if it goes astray. Second is the basic actuarial process of claims development triangulation. If the development pattern changes it should be spotted quickly. If the run off is below assumed levels it should be spotted quickly. This did not happen.
As I said, replace Manser, but the priority lies elsewhere.

[laurence llewelyn binliner] 10/4/2024 09:16

#WBA1, losing the FY2022 and H1-2023 dividend really grated here, but on reflection, our CFO starting in January 2021 could have been the catalyst for addressing the under reserving which resulted in the dividend cut, but as above he was a deputy previously and had a hand in decision making then..

Still very disappointing that we ended up in the weak position that we did, and it is only PJ that has gone so far (until October)..

[fllegend] 10/4/2024 09:08

You omit to mention that he was deputy CFO of the Group from 2018-2020 and Chief Strategy Officer from 2020-2021, doesn't look like the profile of somebody who could wash their hands of the responsibility for under reserving to me, especially as it was corporate strategy to engage in share buybacks to push up the share price and leaving their regulatory capital threadbare when they had to strengthen reserves.

[wba1] 10/4/2024 08:48

Those applauding the replacement of Neil Manser are missing the point. He was only appointed in 2021, long after the under reserving must have begun looking at the prior year strengthening that took place. It is most likely he was a player in exposing it. He also had a decent role in growing NIG, one of the few recent successes. The key responsibility for the under reserving fiasco rests in two places; the previous CEO (which led to her demise) and the most senior actuary responsible for the technical advice to her. As far as I can tell this is Cormac Bradley, who has been Actuarial Director for 10 years or more.
I dislike seeing an incoming CEO bringing in his buddy rather than tackling the key positions which led to the fiasco - Actuarial Director and Claims Director. I had heard from my friends in Aviva that Winslow is someone who dislikes disagreements but it does not sit well that he starts his reign replacing the wrong people. I would have no issue with replacing the entire top team, including Manser, but he should start with the most guilty.

[laurence llewelyn binliner] 10/4/2024 07:11

Another positive appointment to correct the damaging oversights of the last CFO, who was asleep at the wheel and failed to observe the problems the BOD was making for themselves and plan a corrective course of action before the dividend was cut as a result..

[huckers] 10/4/2024 06:49

The clear out begins :-)

[skinny] 04/4/2024 09:29

FWIW :- Berenberg raises Direct Line price target to 220 (195) pence - 'buy'

[laurence llewelyn binliner] 28/3/2024 12:20

The 200 pence milestone coming into view, see if we can crack it 3rd time lucky today.. :o), it does seem the 4 pence dividend was one catalyst, not so good for income holders but it does help shore up the balance sheet with retained earnings while the turnaround strategy is rolled out it comes back on the share price instead..

[carpingtris] 28/3/2024 12:17

Holding up quite well all things considered.

Wonder if anyone else is thinking about 'taking' this out?