HSBC Agrees to Sell AIG, Allianz Products in EuropeElizabeth Bunn
HSBC Holdings Plc, Europe’s largest bank by market value, agreed to sell products from insurers American International Group Inc. and Allianz SE in countries on the continent.
AIG will pay $55 million in cash for a 10-year agreement covering non-life-insurance products to be sold in Turkey, France and other nations, London-based HSBC said yesterday in a statement. Allianz agreed to pay 23 million euros ($30 million) in a decade-long agreement for sales of life-insurance and pension products in Turkey and elsewhere, the Munich-based firm said in a statement.
Peter Hancock, chief of AIG’s property-casualty unit, said in May that he has been focusing more on writing profitable business than on building premium revenue. He boosted the New York-based insurer’s focus on emerging markets and reduced business in segments that require more capital.
“We are pleased that this long-term collaboration will allow us to expand our existing distribution arrangement and operations platforms,” Dan Doherty, president of consumer insurance for AIG’s Europe, Middle East and Africa regions, said in a statement.
AIG said it agreed to acquire HSBC Assurances IARD, a French subsidiary, for as much as $14.5 million.