Leadership changes at Aviva plc

Aviva: Andy Briggs has decided to step down as CEO UK Insurance

LONDON, 24-Apr-2019 — /EuropaWire/ — Aviva has announced that Aviva’s Group Chief Risk Officer Angela Darlington will assume the interim CEO position of UK Insurance as Andy Briggs has decided to step down as CEO UK Insurance and as a Director of Aviva plc. The resignation follows the recent appointment of Maurice Tulloch as Aviva’s CEO and the decision was made together with the Board of Aviva. In order to support the transitional period, Andy Briggs will stay on with the Group until 23 October 2019.

Andy Briggs joined Aviva’s Board following the Friends Life acquisition where he was Group Chief Executive. Since then he led Aviva’s enlarged UK Life business and brought together the businesses in the UK, built a strong leadership team and delivered solid financial results.

During his time with Aviva, Andy Briggs has also played an important role as Chair of the Association of British Insurers and the Government Business Champion for Older Workers.

Due to the requirement set forth in section 430(2B) of the Companies Act 2006, details of the remuneration payments made to or to be made to Andy Briggs are enclosed below.

Salary and benefits

Andy Briggs will serve 6 (six) months notice with effect from 24 April 2019 and will be placed on garden leave starting from 30 April 2019. During this period Andy will continue to receive his salary, and contractual benefits. Andy Briggs’ employment will be terminated on 23 October 2019, which will be considered as the “Termination Date”.

Below are listed the other terms as agreed with Andy Briggs. They were the subject of careful consideration by the Remuneration Committee and are in line with the Company’s Remuneration Policy which was approved by shareholders at the 2018 AGM.

Bonus

Andy Briggs will be eligible for a pro-rated bonus in respect of the 2019 financial year to reflect the portion of the year prior to the commencement of garden leave. The bonus will be determined on the normal timetable.

Share awards

Under the Aviva plc Annual Bonus Plan (“ABP”) and Long-Term Incentive Plan (“LTIP”) in accordance with the plan rules, Andy Briggs will be treated as a good leaver. The details of the treatment agreed is revealed in the below table and all outstanding awards will remain subject to malus and clawback provisions for five years from the date of grant.

Under Aviva’s Save-As-You-Earn and Matching Share Plans Andy Briggs’ outstanding options will be treated in accordance with Plan rules in line with all other employees, which follow the legislation and HMRC guidance for tax advantaged plans in the UK.

Type of Award Outstanding Awards Treatment
2017 ABP
(relating to the 2016 financial year)
116,530 Due to vest in March 2020
2018 ABP
(relating to the 2017 financial year)
135,185 Due to vest in March 2021
2019 ABP
(relating to the 2018 financial year)
100,015 Due to vest in three annual equal tranches on 27 March 2020, 26 March 2021 and 25 March 2022 in acordance with the Remuneration Policy approved in May 2018
2017 LTIP
(in respect of performance period 2017-2019)
Pro rated position: 259,747 Due to vest in March 2020 (subject to performance testing)
2018 LTIP
(in respect of performance period 2018-2020)
Pro rated position: 164,808 Due to vest in March 2021 (subject to performance testing)
2019 LTIP
(in respect of performance period 2019-2021)
Pro rated position: 78,096 All outstanding awards lapse

Angela Darlington will take over Andy Briggs’ position and will be the interim CEO of UK Insurance

In the meantime, the current Group Chief Risk Officer at Aviva Angela Darlington will take over Andy Briggs’ position and will be the interim CEO of UK Insurance. She has been with Aviva since 2001 and has extensive experience of the UK business, including as Chief Risk Officer of UK Life having held various senior finance and actuarial roles. Angela Darlington appointment is subject to regulatory approval.

Over the past 4 years Aviva has seen substantial progress for its business in the UK under Andy’s leadership. During this time Friends Life has been integrated and the Group consolidated its position as the UK’s leading insurer.

As Andy is leaving the company, Maurice Tulloch will conduct a review to ensure the appropriate management structure is in place to build on that success for the future.

Furthermore, Maurice Tulloch will bring more business unit leaders on to the Group’s senior leadership team in order to broaden it. Joining Aviva’s Leadership Team are also Colm Holmes, CEO of Aviva Canada and Global Corporate & Speciality, and Patrick Dixneuf, who will become CEO of Aviva’s European businesses while remaining as CEO of Aviva France.

As a result of these senior management changes, Aviva will not seek to appoint a new CEO International. This role was filled by Maurice Tulloch before he became Group CEO.

Commenting on the leadership changes Maurice Tulloch, Chief Executive Officer of Aviva, said:

“These appointments are an important first step to bring greater energy, pace and commercial thinking to Aviva. Andy Briggs will be missed. Andy is a brilliant leader and a good friend. Aviva has benefited enormously from his extensive industry experience and his integrity and we wish him well for the future. I look forward to working with him during the transitionary period.”

Commenting on the departure of Andy, Sir Adrian Montague, Chairman of Aviva, said:

“Andy has made a great contribution to Aviva’s business since he joined the Group following the acquisition of Friends Life in 2015. On behalf of the Board, I would like to pay particular tribute to Andy for his conduct throughout the process to select a new CEO and afterwards, and Andy will leave with our best wishes for his future career.”

Media:

Nigel Prideaux
+44 (0)20 7662 0215

Andrew Reid
+44 (0)20 7662 3131

Analysts:

Chris Esson
+44 (0)20 7662 8115

Diane Michelberger
+44 (0)20 7662 0911

SOURCE: Aviva

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