May 9, 2018
ANZ has received the first tranche of proceeds from the sale of its life insurance business to Zurich receiving around $1 billion of reinsurance proceeds.
The proceeds make up part of the $2.85 billion dollar transaction that was announced on 12 December 2017 (see: Zurich Purchases ANZ’s OnePath Life Business) and have been received after ANZ finalised the reinsurance arrangements with Zurich.
Under the arrangements, Zurich acquired the rights to a portion of profits from OnePath Life’s in-force insurance book and ANZ was due to receive reinsurance recoveries from Zurich on business reinsured.
The second part of the transaction will result in the full sale of One Path Life, including its retail advised, direct and group life suite of products, and is expected to be completed by late 2018, while all products lines will be fully separated from ANZ by 2020.
ANZ also announced that the head of its life insurance business, Alexis George, has been promoted to Deputy Chief Executive Officer of the bank but will continue in her role as Group Executive, Wealth Australia.
George will succeed current ANZ Deputy Chief Executive Officer, Graham Hodges who will retire after 27 years, and will also continue to lead the ongoing divestment of ANZ’s life insurance business to Zurich and superannuation and aligned dealer group businesses to IOOF.
As part of her new role, George will take on responsibility for ANZ’s Group Service Centres and assist ANZ Chief Executive Officer, Shayne Elliott with group-wide initiatives, including engagement with Government, regulators and employees.
Elliott said the promotion was a testament to George’s strong leadership across the bank and the work she has carried out to simplify ANZ’s Wealth businesses in Australia.