THE RAC and Assurant, a global provider of risk-management solutions, have extended their agreement to continue to operate the RAC brand together in the UK car dealer sector until at least 2024.
The deal covers a range of well-established RAC-branded warranty and other dealer insurance products.
The two organisations have been working together since 2008 when the original arrangement was signed by The Warranty Group, acquired by Assurant in May 2018.
Dave Hobday, RAC CEO, said: ‘This has been a very successful partnership. The RAC Dealer Network now has over 1,300 members including 333 Approved Dealers, which makes it the largest initiative of its kind in the motor industry.
‘Our agreement has been extended by an additional three years from the original 2021 expiry date, which is a sign of our confidence in Assurant, our acknowledgement of all that our teams have achieved working together, and our support of where they intend to take the brand in the next few years.
‘Importantly, we feel that Assurant really understands the RAC brand.’
Rich Green, the president of Assurant’s European automotive arm, added: ‘We are very pleased to sign this deal extension, which allows us to put our longer-term development plans for the sector into action.
‘The RAC name is at the core of what we do in the dealer space. There has been double-digit percentage revenue growth for each of the last five years and we have created an enviable proposition that has seen hundreds of dealers adopt RAC products during that time.
‘In a sector where the main warranty providers have little brand recognition, dealers understand not just the value of our market-leading products but also the huge consumer confidence that is generated by being identified with the RAC name.’
Our picture shows Rich Green (left) and Dave Hobday.