Posted on Mar 19, 2010 by Sergio Ulloa
UK based international insurance company Aviva plc has come to an agreement with PT Asuransi Wahana Tata to purchase a 60% share of PT Asuransi Winterthur Life Indonesia (WLI). This is the first time Aviva has entered the Indonesian market and comes amidst heightened global interest in the Asian insurance industry.
Once the deal is finalized and Indonesian regulatory approval is given for the venture, Winterthur Life will be renamed PT Asuransi Aviva Indonesia. Aviva currently has a presence in China, Hong Kong, India, Korea, Sri Lanka, Singapore, Taiwan, Malaysia and Australia.
PT Asuransi Winterthur Life Indonesia is one of Indonesia's top three health insurance providers, as well as having a 6% share in the country's financial institution pension market. The company currently holds gross assets of approximately US$ 22.7 million and manages pension asset funds in excess of US$ 63 million.
Chief Executive of Aviva Asia Pacific, Simon Machell said of the deal, "It is another stop in our strategy to build a competitive presence in key markets in Asia to ensure that we benefit from the region's long-term potential."
Similar sentiments were offered by the Chairman of PT Asuransi Winterthur Life, Rudy Wanandi, who stated "We are happy to have found in Aviva a partner that shares our strategic priorities - profitable growth in the long-term, a disciplined and focused approach and the ambition to reach out to the Indonesian people and offer them peace of mind through our range of product offerings."
Aviva Plc is currently the fourth largest insurance company in Europe, holding a 5% share of the market. In contrast the company's holdings and operations in both North America and Asia are much smaller by comparison. The agreement with Winterthur Life sees the continuation of a trend which has realized spurred interest by foreign insurers with regards to the Asian insurance industry; a trend which has seen such deals as the Sale by AIG to Prudential of the American Insurance Group's Asian businesses.
Europe's fourth largest insurance company, with more than 300 years of experience in the global insurance industry, Aviva is committed to the safety and satisfaction of it's customers.