The Green Insurance Company sees 19-fold increase in profits
Greenwise Staff
8th September 2010
A motor insurance company that 'offsets’ its customers' carbon emissions by planting trees has posted a 19-fold increase in profits after only three years in business.
The Green Insurance Company (TGIC) based in Uddingston, Glasgow, is part of the Kwik Fit Financial Services Group, owned by insurance giant Fortis. It has seen turnover jump to £4.36 million in 2009, up from £2.7 million the previous year. 2009 pre-tax profit rose to £670,000, up from £35,000 the previous year.
TGIC said the growth was down to its
eco credentials. It offsets 100 per cent of its customers’ vehicles’
CO2 emissions through planting trees. In the last 12 months it has added 20,000 new motor insurance policyholders to its order book, taking it to more than 50,000 policyholders.
The insurance company said it will have planted almost one million trees in the UK by the end of 2010, locking up over 200,000 tonnes of CO2. It works with Forest Carbon Ltd, which has matched TGIC up with landowners and forestry managers to create 1000 acres of native woodland across Wales, England and Scotland so far.
"From a standing start three years ago, we have created a unique business model which has grown from strength to strength," said Kwik Fit Financial Services Group managing director, Brendan Devine. "We launched The Green Insurance Company in 2007 with just one insurer on our panel and this has increased to 13 in just three years which has enabled us to provide more competitive quotes to our customers."
The 80-strong company said it had created 60 new jobs last year to cope with the demand for its policies and expected to add another 20 jobs by the end of the year.
Woodland Carbon Code
There is currently no independent body for UK woodland carbon project verification, but Forest Carbon projects are reviewed and approved by a panel of independent professional members of the Institute of Chartered Foresters, and in addition all meet the UK Government's Forest Standard.
The Forestry Commission, meanwhile, is planning to launch the Woodland Carbon Code, an independent verification process within the next 12 months, and Forest Carbon is currently trialling the code using two TGIC projects.
Green Grants scheme
As
well as planting trees, TGIC donates two per cent of all its profits to
green charities and environmental causes. This year, it has allocated
£20,000 to green causes across the UK through its Green Grants scheme
and is providing funding to extend the Eco-Schools programme to nursery
schools and other early years establishments.
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