Zurich Insurance, a Switzerland-based multi-line insurance provider, is set to restructure its personal lines motor and property claims teams in the UK, a move which will lead to 121 job losses.
The development is the latest step in the evolution of the insurer's UK personal lines business.
As part of the process, Zurich will transfer personal lines motor and property claims divisions to its Cheltenham-based subsidiary Endsleigh, which specializes in the student, education and graduate markets.
Scheduled to commence from March 2014, the changes will affect 94 roles at personal lines headquarters in Whitely, Hampshire and a further 27 jobs in Glasgow.
Zurich stated that it would make every effort to implement voluntary measures and redeploy staff, adding that it will continue to provide complex claims and retain claims services function as well as governance and technical control.
Zurich UK chief claims officer Tony Emms said, "The low-cost operating model which underpins Endsleigh will help to ensure the continued delivery of a competitive Zurich proposition, meaning we are well positioned to evolve rapidly in the ever changing personal lines market.
"We understand that these changes mean difficult messages for some of our employees, and we are committed to minimising the impact on people by reducing job numbers through redeployment, natural turnover and voluntary measures wherever possible."
Emms concluded, "However, we have to make sure that we can flexibly adapt our operational model and processes to meet constantly changing market conditions."
In addition, Zurich personal lines managing director John Dyke and UK claims director Jon Cawley will leave the company at the end of this year, as part of the restructuring process.
