Unum is buying workplace dental insurance National Dental Plan (NDP) from Capita for £31.7m.
The acquisition of NDP, which is pending regulatory approval, is the latest in an expansion of the Unum portfolio in the UK, which started with the introduction of sick pay insurance in 2013.
Unum says it intends to build on the recent 14 per cent year-on-year growth in the workplace dental insurance sector by facilitating access through its distribution network and existing customer base.
Unum UK CEO Peter O’Donnell says: “NDP is a great business, providing market-leading dental insurance through the workplace, and we’re proud to have it become part of Unum. We see NDP as complementary to our existing operations, and Unum will retain NDP’s current management and employees. They are vital for implementing our strategic vision for NDP, as well as continuing to deliver NDP’s great service to their existing 500 corporate customers and 150,000 insured employees.
“Dental insurance is a natural fit with our existing portfolio, as Unum looks to grow our employee benefits footprint, particularly in the health and wellbeing arena.
“Businesses increasingly recognise that investment in staff wellbeing pays back through better productivity and retention, and lower sickness absence costs. This is why in recent years Unum has been exploring the value of workplace wellbeing. We believe a well-balanced employee benefits package is a tangible way employers can support their workforce, and NDP’s dental offering clearly augments our portfolio here.”
NDP managing director Andrew Bower says: “Unum’s purchase of NDP creates tremendous potential to expand access to dental insurance through the worksite. We’re excited by the opportunity to broaden the reach of our proposition, through access to Unum’s strong distribution network and large customer base. This gives firm foundations for the continuity, growth and prosperity of this business.”