Aviva to sell occupational health business to Capita

Occupational Health

Capita to provide services back to insurer as part of 'long-term' agreement

Aviva UK Health is to sell its occupational health (OH) business to Capita plc.

The deal, for an undisclosed sum, will see Capita take on a business which provides a range of OH services to more than 500 business and other organisations. As part of the deal, Capita has entered into an agreement to become a long-term strategic provider to Aviva UK Health.

Capita said the acquisition will help it to access a number of “key client sectors” including transport and logistics. The Aviva OH business will be integrated into Capita’s wider range of outsourced health and wellbeing services, which include health risk management, health screening and surveillance, absence management, employee assistance programmes, ill health retirement and international assistance & repatriation.

Mark Noble, health and group risk director, Aviva, said that OH services continue to play a “vital role” in the organisation’s overall strategy. But he said that by selling the OH unit, it would allow Aviva to concentrate on further developing its core health insurance service business.

Aviva’s OH business has around 120 employees, with operations based in Sheffield, Birmingham and London. The acquisition will be subject to a Transfer of Undertakings, Protection of Employment (TUPE) consultation with impacted employees.

Look out for analysis on www.hi-mag.com.

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