Axa to Terminate Its Contract with Berkeley Alexander

One of the largest insurers in the UK has announced that it is going to terminate its contract with insurance broker Berkley Alexander to underwrite two mortgage payment protection insurance products – MorgageSure and Mortgagesure Plus. Due to this decision commission payments on the products sold through Berkley Alexander have gone down by 15% percent.

After the 31st of March Axa will no longer offer mortgage payment protection insurance and accident, sickness and unemployment products.

The insurance broker says it is going to start selling a new mortgage payment protection insurance product. It also continues working with Great Lakes and Red Sands Insurance Group.

An Axa representative promises that the company will still be committed to mortgage payment protection insurance which they underwrite for some other brokers and partners and that they have been working hard to make sure that their existing and new clients meet FSA requirements.

Axa’s withdrawal from the market might affect other brokers, experts say.