When Nectar and Avios began their partnership in January 2021, it opened up Sainsbury’s Bank as another potential route for indirectly earning Avios.
When it comes to earning Avios from insurance, your best bet is Alan Boswell Insurance Brokers. You can read about Alan Boswell’s Avios offer in this article. They can offer you up to 10,000 Avios when you take out household, business, medical or landlord insurance.
Boswell doesn’t offer Avios on all insurance types, however, and Sainsbury’s Bank could fill some of the gaps. Details of what it offers are here.
What insurance products can I buy from Sainsbury’s Bank?
These are the insurance products on offer:
- Car insurance – click here for details
- Home insurance – click here for details
- Pet insurance – click here for details
- Travel insurance – click here for details
- Life insurance – click here for details
Get 22,000 Nectar points with a life insurance sign-up offer
There is currently a generous offer running on Sainsbury’s Bank life insurance as you can see here.
This what you can earn:
- 10,000 Nectar points (6,250 Avios) if your policy is under £8.50 per month
- 16,000 Nectar points (10,000 Avios) if your policy is £8.50 to £20 per month
- 22,000 Nectar points (13,750 Avios) if your policy is over £20 per month
You don’t qualify for the points until you have paid your first five monthly premiums. After this time, the points may take a further 60 days to reach your Nectar account.
You also earn a MONTHLY Nectar bonus with your insurance
When you become a Sainsbury’s Bank insurance customer, you receive a monthly points bonus. This is equivalent to the base points you earned in Sainsbury’s and at Sainsbury’s petrol stations during the previous month.
For example, if you spend £200 across Sainsbury’s and its fuel stations in August, you would receive a bonus of 200 Nectar points in September.
Here’s the clever bit. The more insurance policies you buy, the bigger your bonus.
Each Nectar account can earn the bonus from one car, one home, one pet, one travel and one life insurance policy. This means that you could earn a monthly bonus worth FIVE TIMES your monthly spending in Sainsbury’s, assuming you had five policies across the five categories above.
Is this a good offer? Clearly it depends on how much you spend at Sainsbury’s and how little you spend on insurance. I can imagine how, for someone with substantial Sainsbury’s spending, the bonus points could effectively make the insurance free.
To be clear, it is only base points from Sainsbury’s supermarket and garages which are doubled. Bonus point offer in-store are not doubled, nor points from Argos, Habitat, Sainsbury’s Bank, Sainsbury’s Energy and other Sainsbury’s services are not included.
You may receive targetted offers for other policy types
To be honest, it is quite rare for Sainsbury’s to offer an ‘open to all’ sign up bonus such as the current life insurance deal.
It is more common for you to be offered targetted deals via the Nectar app. For example, I am currently offered 7,000 Nectar points (4,375 Avios) if I take out home insurance. This offer does not appear if you visit the home insurance website.
As the value of any insurance offer is totally dependent on the premium you are quoted, you clearly need to look at any Nectar earning in the context of what your policy will cost.
That said, it is worth keeping an eye on the Nectar app to see what targetted sign-up offers are made available to you.
It is also true that, if you have substantial monthly spend at Sainsbury’s supermarkets and petrol stations, the monthly bonus points could represent a good return on your premiums.
How to earn Avios from UK credit cards (November 2022)
As a reminder, there are various ways of earning Avios points from UK credit cards. Many cards also have generous sign-up bonuses!
In February 2022, Barclaycard launched two exciting new Barclaycard Avios Mastercard cards with a bonus of up to 25,000 Avios. You can apply here.
You qualify for the bonus on these cards even if you have a British Airways American Express card:
There are two official British Airways American Express cards with attractive sign-up bonuses:
You can also get generous sign-up bonuses by applying for American Express cards which earn Membership Rewards points.
Run your own business?
We recommend Capital On Tap for limited companies. You earn 1 Avios per £1 which is impressive for a Visa card, along with a sign-up bonus worth 10,000 Avios.
You should also consider the British Airways Accelerating Business credit card. This is open to sole traders as well as limited companies and has a 30,000 Avios sign-up bonus.
There are also generous bonuses on the two American Express Business cards, with the points converting at 1:1 into Avios. These cards are open to sole traders as well as limited companies.
Click here to read our detailed summary of all UK credit cards which earn Avios. This includes both personal and small business cards.