Direct Line boss gets huge pay day ahead of Aviva’s £3.7bn takeover
The chief executive of Direct Line Group has received a huge pay day ahead of its £3.7bn takeover by Aviva.
Adam Winslow took home a pay packet of more than £7.8m for the insurance giant’s latest financial year, according to its annual report.
The CEO’s pay was significantly boosted by a £5.8m payment from Direct Line Group to compensate him for a loss of earnings after joining in March 2024.
Winslow had previously been the chief executive of Aviva’s General Insurance business, which is now set to become Direct Line Group’s owner after a deal was agreed at the end of 2024.
As well as Direct Line, the group’s brands include Churchill, Green Flag and privilege.
Earlier this month, the group revealed its pre-tax profit for 2024 had fallen from £277.4m to £218.4m while its net insurance revenue rose from £2.4bn to £2.8bn.
Writing in the annual report, Direct Line Group’s remuneration chairman Richard Ward said: “The group has delivered on the strategic objectives set out by Adam Winslow at our capital markets day in July.
“Strong growth in our core product areas has driven improved trading performance, further supported by bringing Direct Line Motor onto price comparison websites for the first time.
“During this transitional year, the group has delivered ongoing operating profit of £205m (2023: (£189.5m)) and net insurance margin from ongoing operations of 3.6 per cent (2023: (8.3 per cent)) whilst making excellent progress on managing costs.”
Last month, City PM reported that Aviva had smashed expectations in its annual profit results amidst its landmark takeover of Direct Line.
The FTSE 100 giant posted a 20 per cent increase in operating profit to £1.77bn in 2024. The target surpassed Bloomberg analyst expectations of £1.71bn.
Chief executive Amanda Blanc, who was instrumental in the firm’s £3.7bn deal, said the insurer was in “great shape” following results.