Patrick O’Sullivan will take up the position from May 1 and replaces Andrew Goodsell, who revealed his intention to stand down in October.
O’Sullivan has been chairman of financial services group Old Mutual since January 2010 and is also chairman of ERS, a Lloyd’s market specialist motor insurer.
He previously spent 12 years at Zurich Insurance Group, where he held a number of roles, including chief executive of Eagle Star and chief executive of UK General Insurance, as well as group chief financial officer, and vice-chairman of the management board.
He will receive an annual fee of £325,000.
Orna NiChionna, senior independent director at Saga, said: "We are delighted to welcome Patrick to the board of Saga. He brings many years of highly relevant commercial and board experience, working with companies in the financial services and insurance sectors.
“His wisdom and leadership will be invaluable as we invest in growing the customer base to deliver profit growth across the business."
O’Sullivan added: "Saga is a household name and a brand that I admire. I am very pleased to be joining at a pivotal moment in the development of the company as it focuses on sustaining profitability and growth across the businesses.
“I look forward to working with management and the Saga board to build on recent investments and initiatives to deliver profitable growth."
