Read the latest edition of AIR and MEIR as an Interactive e-book

Jul 2024

Australia: Insurance mart Down Under attracts Asian interest

Source: Asia Insurance Review | Jul 2018

Australia Hong Kong Japan Life & Health M&A

Asian life insurers, led by those from Japan, are buying up their Australian peers amid strong prospects for the country’s insurance market driven by a rising population.
Australia’s life insurance market has been growing around 10% annually, reports Nikkei Asian Review. In addition to public pensions, the country has the superannuation scheme. Over 90% of residents have life insurance, mainly through these pensions – an exceptionally high rate. Despite this, an insurance gap exists. Coverage for deaths reaches only about 60% of the amount considered necessary, along with less than 20% for disability insurance.
In June, T&D Holdings subsidiary Daido Life Insurance acquired a 14.9% stake in Australian start-up Integrity Group worth about JPY1.1bn ($10m). Integrity mainly handles products such as medical and life insurance, using digital technology to provide greater transparency for customers.
Dai-ichi Life Insurance made local provider TAL, a wholly owned subsidiary in 2011, and Nippon Life Insurance acquired National Australia Bank’s life insurance unit MLC for about JPY180bn in 2016. MS&AD Insurance Group bought local annuity provider Challenger for about JPY44bn last year.
Among non-Japanese insurers, AIA Group of Hong Kong agreed to purchase Commonwealth Bank of Australia’s life insurance arm last year. The deal gives AIA the nation’s top market share, surpassing Dai-ichi Life’s TAL. A 
| Print
Enter the code shown above in the box below.

Note that your comment may be edited or removed in the future, and that your comment may appear alongside the original article on websites other than this one.


Recent Comments

There are no comments submitted yet. Do you have an interesting opinion? Then be the first to post a comment.