AXA has confirmed that it is to acquire UK-based 100% online insurer Swiftcover.com, which is jointly owned by international insurer Primary Group and Swiftcover's management.

The acquisition is expected to strengthen AXA’s UK positioning the provision of personal lines insurance direct to consumers.

Peter Hubbard, chief executive of AXA Insurance, said: We have underwritten a significant proportion of Swiftcover’s business since its launch and know the potential of this franchise. We intend to build on Swiftcover’s strong brand and powerful operating model to deliver an additional revenue and earnings stream for AXA UK.

In 2006, Swiftcover had a net inflow of 120,000 policies. The company claims to save customers 70% on their insurance due to its 100% internet-based service, enabling efficient management of the insurance process. The company will continue to operate under the Swiftcover brand after the transaction has completed.

The deal is subject to regulatory approval.