The AA will join the scheme from June and becomes the first roadside assistance company to participate. Its addition brings the total number of Nectar partners back up to 17.
LMUK managing director Brian Sinclair said that the scheme would continue to award two points for every 拢1 spent. He added that LMUK and the AA were also looking at awarding bonus points for other activities such as bringing in additional members.
Cardholders will be able to earn points by taking up AA Personal membership and purchasing European breakdown cover.
The AA is the scheme's second automotive partner. BP was one of Nectar's four founder members when it launched in 2002. The others were Sainsbury's, Debenhams and Barclaycard, which left when Nectar launched a co-branded credit card with American Express.
Nectar is the UK's biggest loyalty scheme in membership terms, with about 17m cardholders. Despite the departure of high-profile partners including Threshers, LMUK has brought in more than it has lost, including Thomson Holidays.
Earlier this year, tool-hire chain HSS Hire joined the Nectar for Business programme for SMEs.
Nectar recently revamped its marketing strategy for the first time since its launch.
At Easter it unveiled ads featuring characters called the Nectars, which will appear in its future advertising. The decision followed customer research indicating that its campaigns needed more warmth and humour.
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