Aviva PLC (LON:AV) is understood to be considering a break up of its UK business as part of an expected overhaul under new chief executive Maurice Tulloch.
According to the Financial Times, the company is preparing to unveil a big shake-up of its UK operations next week.
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The shake-up could include a split of the UK business into two parts, with one containing the life insurance arm and the other including non-life insurance such as home and car cover, the newspaper reported.
Such a move would reverse Aviva’s decision to merge its two main businesses in 2017.
Tulloch, who was appointed in March, has said he wants to “re-energise” the group and is believed to want to simplify the business. At last week’s annual meeting he said the company was “still too complex”.
Aviva is due to announce Tulloch’s strategy for the business on June 6.
Along with a potential plan to simplify the group, Tulloch is also likely to announce a push to make Aviva more efficient as costs have been rising in recent years.
Tulloch told last week’s annual meeting that “our cost to income ratio is higher than it ought to be”.