ERGO sells three legal insurance subsidiaries to ALLIANZ
"The sale sees ERGO International pursuing its three-pillar strategy, which defines clear cornerstones for the insurance group's international business. The programme aims to expand ERGO's strong position in developed European markets such as Poland and Greece, to efficiently manage the Group's global specialty insurance business, and to sustainably build and expand business activities in growth markets such as China and India", explained ERGO in a statement.
D.A.S. Switzerland, which has been acquired by ALLIANZ Suisse, is the largest component of the transaction accounting for premium income of around EUR 30 million and ranked seventh on the Swiss market with a share of 6.2%.
In 2016, D.A.S. Slovakia, which is the leading provider of legal insurance, had a market share of 85.1%, while D.A.S. Luxembourg holds a market share of 18.2% and ranks in second place (2016). The D.A.S. Slovakia branch will be absorbed by ALLIANZ's Slovakia subsidiary while the legal protection insurance portfolio of D.A.S. Luxembourg will be ceded to the subsidiary of ALLIANZ Benelux in Luxembourg.
"As part of our internationalisation strategy, we are constantly reviewing and analysing our business operations. We see ourselves as pacemakers, not as followers", says Alexander ANKEL, Chief Operating Officer of ERGO International AG. "We are never satisfied with simply being present: our vision is to be an innovation driver in our industry - in every market and region we operate in."
ERGO said that it is "continuously reassessing its international business activities in terms of their strategic relevance, position and market appeal"pointing out that "may consider selling companies that fail to meet the minimum requirements now or in the foreseeable future".