UK life and pensions provider Legal & General is to distribute term life assurance through the J Sainsbury supermarket chain. It follows a similar distribution deal between rivals Norwich Union and Tesco. The products will be sold not only in the shops, but via Sainbury’s Bank and web site as well, and by telephone.
Legal & General has begun to shift distribution away from tied agents and IFAs, in favour of volume sales through trusted intermediaries such as Sainsbury’s, on the grounds this maximises the efficiency of its back office processing centre. It has similar deals with Barclays Bank and the Alliance & Leicester mortgage bank.