July 3, 2018
AIA Group, the parent company of AIA Australia and AIA New Zealand has completed the acquisition of Sovereign, CommInsure’s New Zealand life insurance business, on 2 July.
The life insurer announced that its subsidiary, AIA International Limited, had fully acquired Sovereign as part of a wider deal in which the Australian arm of CommInsure would also be acquired by AIA Group (see: CommInsure to be Sold to AIA).
As part of the sale announced in September last year, AIA has entered into a 20-year strategic distribution agreement with ASB Bank in New Zealand.
AIA Group Regional Chief Executive, Bill Lisle, said the acquisition is set to “significantly transform and expand our presence in New Zealand” adding “This deal represents only the beginning of our long-term vision in New Zealand”.
“We are committed to helping as many people as possible to live healthier, longer, better lives, through our market-leading programs such as AIA Vitality and our Rehabilitation and Return to Work program,” he said.
“Our new long-term partnership with ASB is a significant opportunity for AIA in New Zealand. We are confident that ASB’s distribution network, combined with AIA’s regional bancassurance capabilities and life insurance product expertise, will deliver strong insurance propositions for our customers,” Lisle said.
AIA New Zealand and Sovereign will continue to operate under their respective brands for the immediate future and until a long-term brand strategy is announced, and both companies will continue to sell their respective products in the near term.