Monument Re to acquire Belgian life insurance and mortgage portfolios from Allianz
Monument Re has reached an agreement with Allianz Benelux (Belgium) that will see Allianz transfer a closed book of classical life retail insurances and 4.500 mortgage loans to Monument Assurance Belgium (MAB).
The related operations will be transferred to MAB, which specialises in acquiring and managing classical life portfolios in Europe, within 18 months of regulatory approvals being received.
Allianz Benelux will transfer a portfolio of 95.000 policies with technical provisions of €1.4 billion euros under Solvency II. Allianz stopped writing new business for this portfolio in the early 2000s. The classic life Assubel contracts which were underwritten prior to 1988 are out of scope.
Allianz’ and MAB’s want to minimize the impact of the transfer for both clients and brokers, and Allianz Benelux will continue to provide services to clients for 18 months, ensuring a seamless transfer of the portfolio.
All related assets and liabilities of the respective portfolio will be transferred to MAB, with protection of the policyholder rights, subject to regulatory approvals.
Monument Re said the transaction marks a major milestone in the realisation of its closed life consolidation strategy for the Belgian market. It has already acquired ABN AMRO Life Capital Belgium, Ethias’ First A portfolio, Alpha Insurance’s traditional and credit life portfolio and part of Curalia’s second pillar pension life insurance portfolio. The Allianz transaction delivers a substantial increase in scale, it said.
Manfred Maske, chief executive of Monument Re Group, said: “We view Belgium as a key market for Monument Re and we are very pleased to now have the opportunity to take a significant step in realising our ambitions. Following earlier acquisitions of four other Belgian portfolios, this transaction with Allianz helps us to substantially increase scale and confirms Monument Assurance’s position as a leading consolidator in the Belgian market. ”
Kathleen Van den Eynde, chief executive for Belgium of Allianz Benelux, said the deal will reduce its operational complexity and strengthen its financial position, while helping it grow. “With its strong track record in acquiring and integrating policies and policyholders, we believe MAB is the ideal candidate to take over this portfolio,” she said.
