Insurance Blog

Tuesday, September 30, 2008

Scottish Parliament to rescue Banks?

Its refreshing to see that the unloved Republicans have stuck to their guns and said no to intervention - even it it means a crash and the collapse of their economy and all its global fallout.
Why? Because in the UK the opposite situation exists where an underlying fundamental ideology of nationalisation to the rescue still exists!

Or does it?

I've just heard A Darling say 'we'll do whatever it takes to keep the economy stable'

Maybe, the Yanks are right - You cannot underwrite a House of Cards Institutional collapse - especially if your not getting the profit in the good times.

Obviously the UK Government thinks you can!

When the Japanese banking system collapsed in 1990 the only solution was the introduction of ZIRP - Zero Interest Rate lending from the State to the Banks in order to kick start the circular liquidity flows. It took ten years to recover.

Maybe there'll be a honeymoon periods in a month or so after Obama wins the US election handsdown.
It might even help Mr Browns UK image, after all the Conservatives here (the republican equivalents) are marching around their annual conference here like headless chickens, triumphing the rise of New Conservatism and already talking about power.
Why the glum faces then?
These same people are being shot by both sides. The collapse of their beautified banking system and the value of their shares free falling, their system falling into the hands of the enemy (the current Government) has rather taken the shine of the promised election victory to come!

Well whoever wins it has just won a bucket of ****

Rumours are abounding that Lloyds board are trying to renegotiate the takeover of Halifax Bank of Scotland - its sending waves around the industry.

Well Mr A Darling it looks like you may have your first bank to nationalise....
It will probably be closely followed by Royal Bank of Scotland!

Hang on! - Whose in Charge? - a certain Scot Mr G Brown

Maybe he's planning to hand the Scottish banks over to the Scottish Parliament to run

Now there's a thought - Alex Salmon in charge of 2 of the UK's largest financial and insurance comglomerates!

Labels: Banks, credit crunch, HBOS, Insurance, RBS bank, scotland

Friday, September 19, 2008

HBOS & LLoyds TSB merger sees Insurance brands disappear

Those who like to see agglomeration in an Insurance Industry dominated by 'Bancassureurs' will no doubt be pleased by the latest merger.

According to the HBOS website 'Over 7 million customers rely on our household, travel, repayment, health and pet insurance. Our business already generates over £1.7 billion premium income and nearly £½ billion profits – and we’re growing very fast. '

(Maybe they haven't updated the site yet)

Yes very fast and note the amount of profits!
Insurance blogger sees no benefits of this merger to the general public - there will just be less outlets selling less brands or versions of the same offering which are usually overloaded with commisssion profit!

Our advice to those seven million new LloydsTSB customers (and the existing ones) is - shop around on the internet - save money! Apathy costs!
Alternatively get one of those good old fashioned insurance brokers to do it for you - at least that way you'll be properly covered and not paying over the odds for all your insurance needs!

Labels: credit crunch, HBOS, Insurance Brokers, Insurance companies