Direct Line boss gets huge £7.8million pay day ahead of Aviva takeover

Direct Line Group's chief executive, Adam Winslow, has landed a substantial pay cheque ahead of the company's £3.7bn acquisition by Aviva.

The insurance heavyweight's annual report disclosed that Winslow's remuneration for the latest financial year exceeded £7.8m, as reported by City AM.

His salary was significantly augmented by a £5.8m payment from Direct Line Group as compensation for earnings lost after he took up his role in March 2024.

Prior to this, Winslow had been at the helm of Aviva, which is poised to take over Direct Line Group following an agreement reached at the end of 2024.

The group's portfolio includes well-known brands such as Churchill, Green Flag, and Privilege.

This month, Direct Line Group reported a dip in pre-tax profits for 2024, down to £218.4m from £277.4m, while its net insurance revenue climbed from £2.4bn to £2.8bn.

Richard Ward, the remuneration chairman for Direct Line Group, penned in the annual report: "The group has delivered on the strategic objectives set out by Adam Winslow at our capital markets day in July.

"Strong growth in our core product areas has driven improved trading performance, further supported by bringing Direct Line Motor onto price comparison websites for the first time."

"During this transitional year, the group has delivered ongoing operating profit of £205m (2023: (£189.5m)) and net insurance margin from ongoing operations of 3.6 per cent (2023: (8.3 per cent)) whilst making excellent progress on managing costs."

In a previous report by City AM, it was highlighted that Aviva had surpassed expectations with its annual profit results, which coincided with its notable acquisition of Direct Line.

The FTSE 100 heavyweight recorded a 20 per cent surge in operating profit, reaching £1.77bn for the year 2024, outperforming Bloomberg analyst projections of £1.71bn.