One of the UK’s biggest insurance companies has been granted permission to provide legal services.

RSA Law Limited was granted an alternative business structure licence by the Solicitors Regulation Authority last week and it will be effective from 1 April.

RSA, formerly Royal and Sun Alliance, is a multinational general insurance company listed on the London Stock Exchange and owner of car insurance brand More Than.

An RSA spokesperson said: ‘We can confirm that we have received approval to establish an alternative business structure in partnership with Parabis. We are creating RSA Law to support our customers who have a genuine need for a seamless high quality claims and legal service.’

The SRA notice states that the head of legal practice is Allison Kemp, who is listed as a non-member partner at national firm Parabis Law, and the firm has confirmed it has entered a joint venture with RSA.

Tim Roberts, group commercial director of Parabis, said: ‘This is another exciting development underlining the significant role that insurers are playing in customer-facing legal services provision in this country.

‘The ABS allows RSA to extend its service offering to customers allowing them to benefit from our core skills such as business processing and litigation.’

The SRA has included a number of conditions on RSA Law, including that it does not represent Royal and Sun Alliance Insurance PLC as being regulated by the SRA. It must also ensure that client information and records are not disclosed to the insurer without the client’s consent.

The move by RSA is the latest example of an insurer moving into the provision of legal services. 

Direct Line offers legal services through its subsidiary DLG Legal Services, offered in conjunction with Parabis Law LLP.

Cardiff firm NewLaw also has a five-year tie-in with insurance firm Ageas to provide legal services to customers after a motor accident.

The changes have partly been brought about by the Legal Aid, Sentencing and Punishment of Offenders Act 2012 which from April 2013 banned any payment between insurance companies and law firms for clients' details.