Company Announcements

Direct Line Insurance Group plc
4 August 2021

DIRECT LINE INSURANCE GROUP PLC

NOTIFICATION OF SHARE REPURCHASE PROGRAMME

On 8 March 2021, Direct Line Insurance Group plc ("DLG") announced its intention to commence a share repurchase programme of DLG's ordinary shares of 10 10/11p each (the "Ordinary Shares") up to a maximum consideration of £100 million (the "Programme"), to be carried out in tranches in the next twelve month period. The purpose of the Programme is to reduce the share capital of DLG. As previously announced, the first tranche of the Programme commenced on 9 March 2021 and completed on 11 June 2021, during this period the Company repurchased and cancelled 16,623,215 Ordinary Shares for an aggregate purchase price of £50 million (inclusive of certain fees and expenses incurred by DLG in connection with the repurchases).

As announced on 3 August 2021, DLG is commencing the second tranche of the Programme. The second tranche will be carried out through a non-discretionary mandate DLG has entered into with Goldman Sachs International ("Goldman Sachs"). Goldman Sachs will act as principal in purchasing Ordinary Shares during the Programme for a maximum consideration of £50 million (exclusive of fees and expenses incurred by DLG in connection with the repurchases) and the subsequent on sale of such Ordinary Shares by Goldman Sachs to DLG. The Programme will commence on 4 August 2021 and is expected to end by no later than 31 January 2022. The maximum number of Ordinary Shares that can be purchased under the second tranche of the Programme is 130,926,214 (being the number of Ordinary Shares DLG is authorised to purchase pursuant to the authority granted by shareholders at DLG's 2021 annual general meeting (the "AGM") less the number of Ordinary Shares purchased on or after the date of the AGM in the first tranche of the Programme). Goldman Sachs will make its trading decisions in relation to the Ordinary Shares independently of, and uninfluenced by, DLG.

Any purchase of Ordinary Shares under the second tranche of the Programme will be made on the London Stock Exchange and other recognised investment exchanges, in accordance with DLG's general authority to make market purchases of Ordinary Shares, Chapter 12 of the Listing Rules and Article 5(1) of Regulation (EU) No. 596/2014 (as incorporated into UK domestic law by the European Union (Withdrawal) Act 2018 ("EUWA")). DLG will announce any market repurchase of Ordinary Shares no later than 7.30 a.m. on the business day following the calendar day on which the repurchase occurred. To the extent permitted by law, Ordinary Shares purchased under the second tranche of the Programme will be cancelled.

For further information, please contact:

Paul Smith
Director of Investor Relations
Tel: +44 (0) 7794 811 263

Will Sherlock
Group Corporate Affairs and Sustainability Director
Tel: +44 (0) 7786 836562

This announcement does not constitute, or form part of, an offer or any solicitation of an offer for securities in any jurisdiction.

LEI: 213800FF2R23ALJQOP04