Car insurance boss quits

SHARES in motor insurer Highway Insurance dipped in early trading after the company announced chief executive Andrew Gibson had resigned with immediate effect to 'pursue another opportunity'.

Gibson is expected to help run rival Cox Insurance, which is in the throes of dislisting from the stock market, subject to a £300m takeover bid by venture capitalist firm Fieldstreet.

In a statement, Highway said: 'The board wishes to acknowledge the significant contribution of Andrew Gibson to the business over his three year term as CEO. He leaves withour best wishes for the future.'

Exectuive chairman Ross Dunlop will take most of Gibson's responsibilities while Chris Hill, underwriting director, will become managingdirector of the group's Highway Insurance Company trading company.

Paul Cosh, managing director of Highway's retail operation, joins the Board as an executive director with immediate effect.

Gibson, 48, was appointed CEO in July 2002.He joined Highway's management team in October 1995, and became finance director in October 1996.

Highway Insurance Holdings, formerly Ockham Holdings, was created in 1995 from the Sturge Group. Highway's motor insurance was underwritten through several Lloyd's syndicates until 2003. It now underwrites exclusively through Highway Insurance Company.

It claims to be one of the UK's largest and most profitable motor insurers, avoiding direct instead opting to sell policies through intermediaries. It has 600,000 customers.

Shares in Highway fell ¾p to 43½p in early trading.