Insurer Direct Line has warned if the UK crashes out of the UK with a no-deal Brexit, the impact on the company could, “correspondingly also be disruptive and potentially material.”
The group has “proactively taken steps” to mitigate any potential impact, Direct Line said they are not “immune” to a hard Brexit.
The group which also owns Churchill, relies on the EU as they are exposed to the financial markets, and import goods and services to fulfil insurance claims.
The insurer has reported a 6.4% drop in their operating profit to £601.7m for 2018, gross written premiums fell 5.3% to £3.2bn.
Full-year statutory pre-tax profits lifted 8.1% to £582.6m.
Paul Geddes, Direct Line chief said 2019 was a “pivotal year” for the group.
Adding, “I am pleased to announce a strong set of results driven by our resilient business model which performed well in a highly competitive market.”