Interesting move by Liverpool Victoria. Other insurers moving towards the legal market use the ABS route. LV='s entry into the market is in association with Lyons Davidson, whom are permitted to use LV= brand, something recognised and trusted by consumers.
The collapse last year of Parabis demonstrated the risks associated with ABS ventures. However with LV= offering "very competitive" prices on what are already low-margin services, plus their trusted brand image it will be interesting to see the outcome.
LV= has created its legal offering to offer an extra service to its members and customers, rather than to make any great profit, its claims director has told Legal Futures. LV= announced its new venture yesterday, which will be run in association with Bristol-based law firm Lyons Davidson, but it is not an alternative business structure (ABS), unlike all the other such arrangements between insurers and law firms.