British insurance group Admiral has renewed its underwriting arrangements with Germany-based Munich Re, for its UK car insurance business, by 2018.

Munich Re, which underwrites 40% of Admiral’s UK car insurance business, will continue to underwrite business behalf of Admiral’s from the end of 2016 until at least the end of 2018, according to the renewed contract.

The company was quoted by IFA Magazine as saying that, "The long-standing partnership allows Admiral to mitigate risk exposure while benefitting from profit commission."

Both firms did not disclose the cost and contractual terms of the renewed agreement, although, Admiral said that they offer a slight improvement from 2017.

Admiral chief executive Henry Engelhardt told the news portal, "Munich Re is a fantastic partner and we are really pleased to extend further our long-term relationship for at least the next five years.

"This agreement is testament to their continued confidence in our business and we look forward to working with them for many more years to come.’