Auckland, July 2, 2018
AIA Group Limited has announced that is wholly-owned subsidiary, AIA International Limited has successfully completed its acquisition of Sovereign Insurance.
As disclosed on September 21, 2017, AIA has also entered into a 20-year strategic distribution agreement with ASB Bank, the second largest retail bank in New Zealand (Source: ASB, by Main Customer Base).
The combined business would pave the way for AIA to achieve its vision to make New Zealand one of the healthiest and most protected nations in the world.
AIA Group Regional Chief Executive, Bill Lisle, said, “We are delighted to have completed our acquisition of Sovereign, which is set to significantly transform and expand our presence in New Zealand. We expect it will deliver a highly positive outcome for our customers, partners and advisers here, as well as our fantastic team of employees.”
The AIA Group is the largest life insurer in the world by market capitalisation, with a presence in 18 markets in the Asia-Pacific region (Source: Bloomberg, May 31, 2018).
AIA serves the holders of more than 30 million individual policies and over 16 million participating members of group insurance schemes.
Leader in New Zealand
The combined business will transform AIA’s scale and reach to become the market leader in New Zealand’s life insurance market.
Mr Lisle added, “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.”
Complimenting ASB strength
“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.”
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.
Both AIA and Sovereign will continue to sell their respective products in the near term.
AIA Group Limited and its subsidiaries (collectively “AIA” or the “Group”) comprise the largest independent publicly listed pan-Asian life insurance group. It has a presence in 18 markets in Asia-Pacific – wholly-owned branches and subsidiaries in Hong Kong, Thailand, Singapore, Malaysia, China, Korea, the Philippines, Australia, Indonesia, Taiwan, Vietnam, New Zealand, Macau, Brunei, and Cambodia, as well as a 97% Subsidiary in Sri Lanka, a 49% Joint Venture in India, and a Representative Office in Myanmar.
The business that is now AIA was first established in Shanghai almost a century ago in 1919. It is a market leader in the Asia-Pacific region (ex-Japan) based on life insurance premiums and holds leading positions across the majority of its markets. It had total assets of US$ 200 billion as of May 31, 2017.
AIA meets the long-term savings and protection needs of individuals by offering a range of products and services including life insurance, accident and health insurance and savings plans. The Group also provides employee benefits, credit life and pension services to corporate clients. Through an extensive network of agents, partners and employees across Asia-Pacific, AIA serves the holders of more than 30 million individual policies and over 16 million participating members of group insurance schemes.
AIA Group Limited is listed on the Main Board of The Stock Exchange of Hong Kong Limited under the stock code 1299 with American Depositary Receipts (Level 1) traded on the over-the-counter market (Ticker Symbol: AAGIY).
About AIA New Zealand
AIA New Zealand employs over 140 people.
Since the company arrived in New Zealand in 1981, AIA New Zealand has consistently provided the market with innovative personal and business insurance products that suit the Kiwi way of life.
Today, AIA offers a complete range of risk management products that focus on the needs of customers. AIA New Zealand is based in Auckland with regional offices in Wellington and Christchurch.
However, through a network of financial advisers, AIA reaches every corner of the country. AIA New Zealand is a member of the Insurance and Savings Ombudsman Scheme and the Health Funds Association of New Zealand. Standard and Poor’s reaffirmed AIA New Zealand’s insurer financial strength rating at AA- in June 2016.
AIA New Zealand is the Sponsor of the ‘Best Financial Advisor (Insurance)’ Category of the Eleventh Annual Indian Newslink Indian Business Awards 2018. This Category was developed in consultation with AIA New Zealand in 2015.