Insurance Industry News

ING of the Netherlands continued its "Back to Basics" strategy with the announcement of the sale of its 51% interest in its life insurance and wealth management JV to partner ANZ for EUR1,100 million.

Strong rumour from Singapore says that United Overseas Bank is on the verge of selling its life insurance company - with a number of large bidders expressing interest.

The reporting season continues to provide more bad news than good, despite much focus on large profits by a minuscule number of banks. And the Insurance sector isn't helping, as Suncorp-Metway announced a 40% drop in profits and drop in income to AUD348 from AUD538 a year ago.

Liberty Acquisition Holdings (International) Company says that the conditions for its purchases of Pearl Group Limited and Opal Reassurance Limited are expected to be met by the end of this month.

Lloyd's of London, the insurance market, has warned of fraudulent representations alleging that a company is associated with Lloyd's.

With sales of four units, including the largest so far, AIG is shedding units faster than a creature moulting in spring.

The once mighty American International Group, whose illuminated AIG signs featured prominently on city skylines around the world is quietly - but not so slowly - breaking up. And it's selling assets and cutting costs in other ways, too.

Edward M Liddy stood before a congressional committee on Wednesday and told the members "I have asked the employees of A.I.G. Financial Products to step up and do the right thing. Specifically, I have asked those who received retention payments of USD100,000 or more to return at least half of those payments."

If AIG is to survive at all, it needs customers. And to get customers it needs more than product - it needs the confidence of those who may buy. Disclosures of its party culture funded out of taxpayer dollars and, more recently, the payments of boneses to the very staff who supervised its collapse - again out of tax dollars - is not the best way to endear itself to a market.

Malaysia's CIMB and the Canada's Sun Life Financial have agreed to form a Joint Venture for the Indonesian market.