The firm said that the process to appoint a new, permanent chief executive is already underway, with Hartigan staying in his interim role while LV= searches for a successor.
Hartigan was appointed to the role in January 2020 and become a board director in June that year.
He worked at Zurich Insurance Group between 2009 and 2019, most recently as head of operations for Zurich Europe, the Middle East and Africa. Prior to that he was deputy chief executive for Nexus Group.
During his tenure at LV= the company underwent a strategic review, with a proposed takeover by Bain Capital suggested.
The company said that it would lead to an extra £212m in extra distribution for members, but the deal was rejected in December last year.
Simon Moore, LV=’s chair who joined the business last month, said Hartigan was engaged on an interim basis to improve the “underlying commercial performance and fundamentals of the business” and carry out a full strategic review of the business, which led to the proposed Bain Capital property transaction.
He continued: “That transaction did not proceed, with members sending a clear message that mutuality remains important to them. Mark has led a successful turnaround of the business, in our recent 2021 financial results we announced that we outperformed both in terms of our new business volumes and that there has been significant growth in sales and trading profit.
“He has built a strong executive team with a culture that places members at the core of the brand. Under his leadership the company is now trading profitably and has won significant market share.”
Moore said under Hartigan’s leadership, the firm had “strategically refocused” to “under-served markets”, including income and critical illness protection, low volatility investment solutions for those approaching and in retirement and equity release.
He said the firm planned to develop these opportunities further and has plans to “extend its reach to achieve greater customer access”.
Moore said the board and Hartigan agreed it was the right time to appoint a permanent chief executive “to build on this platform and further develop a sustainable mutual future for LV=”, adding that he would lead the process with Russell Reynolds Associates.
Hartigan said LV= was an “outstanding company with a prosperous and dynamic strategy and outstanding employees who serve this mutual’s membership with passion and professionalism”.
He continued: “Thanks to the progress of our plan to transform the business, and despite challenging trading conditions, it is now well capitalised and clear in its future plans. With a strong leadership team in place and a clear plan for the future it is the appropriate time for me to step aside as interim chief executive.
“I express my gratitude to the board of LV= who charged me with very specific and fundamental tasks when I was appointed. I, particularly, want to thank the employees of LV= who have been absolutely key to putting this hugely important business back on a much firmer footing.”
