Germany based underwriter Allianz has inked a 10-year bancassurance distribution agreement with London based HSBC, pursuant to which the latter will distribute Allianz life insurance products in China, Indonesia, Malaysia, Australia, Sri Lanka and Taiwan.
The products will be delivered by the strategic partners of Allianz in Brunei and the Philippines, the underwriter said.
In accordance with the overall strategic partnership, the assets and liabilities other than the statutory deposits of nearly $10m of HSBC Life (International), Taiwan Branch, will be transferred to Allianz Taiwan Life Insurance for a consideration of $18m.
The $100m deal will enable the insurer to boost its distribution capability to an additional segment of retail banking customers in its major growth markets in Asia Pacific.
Bancassurance has played an important role in the development of Allianz life insurance in Asia, with around 40% of gross written premium in life insurance originating from this channel in 2011.
Both firms have partnered since 2008 on a variety of business including, life & health insurance, credit insurance as well as asset management services.