Posted on Jun 17, 2010 by Sergio Ulloa
Zurich Financial Services Group subsidiary, Zurich Insurance Co., has bought a majority stake in Indonesian life insurance company, PT Mayapada Life.
Zurich Insurance has agreed to buy an 80% stake in Mayapada Life from its parent company, Mayapada Group, for an undisclosed amount. The deal is expected to close in the third quarter of 2010, subject to regulatory approval.
Mayapada Life had gross written premiums of USD 1.7 million in 2009; its purchase by Zurich gives the Swiss company a platform in the Indonesian life insurance market from which it can expand by offering savings and protection products to the growing population.
In order to ensure that they can immediately avail themselves of bancassurance distribution channels in Indonesia, Zurich has arranged a long term distribution agreement with PT Bank Mayapada International Tbk (Mayapada Bank).
Zurich's CEO of Global Life, Mario Greco, said that "The acquisition of Mayapada Life is a first step in Zurich Life's expansion plans in Indonesia. It underpins our commitment to developing the market in Indonesia and our strategy of providing protection and saving products to the rapidly growing number of the population with such needs. The Mayapada Group will be a strong local partner as we seek to build key relationships to grow our business in the Asia Pacific region."
Insurance Company Mentioned:
Zurich Financial Services Group is an insurance-based financial services provider with a workforce of approximately 60,000 people. The company was founded in 1872, and is headquartered in Zurich, Switzerland. They currently serve their customers in more than 170 countries around the globe, with aims of becoming one of the top five global insurers.