Listed personal injury consolidator Quindell is to offer accident management services to all UK Honda customers.
The company has confirmed a three-year contract, for an undisclosed amount, with the car manufacturer following a ‘period of co-operation’ which started in January.
The announcement saw the Quindell share price rise marginally to 8.75p on the junior AIM market. In recent weeks the share price has fluctuated significantly, leading the company to make two statements reassuring investors.
It is expected Honda customers will go through the Quindell claims management team if they suffer an accident. The team will arrange for vehicle repair and legal representation if it is required – all under the Quindell umbrella.
When asked on the financing of the contract and whether Honda drivers would be forced to use Quindell services, a spokeswoman for Quindell refused to answer.
According to a statement from Quindell, Honda staff will complete a ‘comprehensive training programme’ to explain the accident management process to customers, enabling them to get back on the road as soon as possible.
Marcus Comfort, aftersales programmes manager, Honda (UK) commented: ‘Quindell have created a compelling proposition for Honda, and we believe the partnership will deliver an improved customer experience.
‘We’re convinced our customers will welcome the extra security that comes with contacting Honda and knowing we will help them from the moment of the incident, through to their car being repaired and returned to them.’
Last year saw a meteoric rise for the fledgling company, which first came to the market’s attention with the purchase of personal injury firm Silverbeck Rymer in January 2012.
A series of purchases of law firms, insurers and claims management companies followed, but uncertainty over December’s acquisition of Accident Advice Helpline forced the share price to plummet, falling to less than 6p per share earlier this month.
Performance has since stabilised, but the price is still significantly down from a high of 17.5p recorded last November.