Insurance giant LV group announced this morning that former Bupa chief executive David Hynam would take over the top job at the firm after the departure of controversial chief Mark Hartigan at the end of this month.
Hartigan announced he would resign from his role as chief of the mutual after a failed attempt last year to sell the firm to US private equity firm Bain Capital.
In a statement this morning, LV said that Hynam – who is currently chair of HomeServe UK – was now the “ideal candidate” to lead the firm and a “truly market-leading chief executive ” who had achieved “record levels of growth” at Bupa.
“David brings with him a track record of hugely successful leadership in the insurance sector, while his extensive experience working with distribution partners, intermediaries and brokers, means he is a perfect fit for LV=’s mutual business model,” said Simon Moore, LV chair.
He added that Hynam would now lead the firm into “the next exciting phase of its future as part of a resurgent mutual sector”.
The incoming chief Hynam said in a statement his priorities will be to work with the team at LV= to deliver a “true mutual culture” and “realise LV=’s huge distribution potential”.
Moore said he is now set to deliver an “unprecedented address” to members at the firm’s annual general meeting where he will outline steps he and Hynam are taking to ensure that “transparency and fairness will be at the heart of our mutual business going forward.”
Hynam takes over the reins at LV after a period of discontent over the leadership of Hartigan, who oversaw the failed sale of the firm which sparked calls for his removal from both shareholders and political figures.
Tory MP Kevin Hollinrake called for his departure in June and said “every day he stays he’s earning more of members’ money, and any delaying is only acting in his interests”.
LV has also faced backlash over a decision to offer Hartigan a £511,000 bonus on top of his £435,000 salary.