Swiss Re Corporate Solutions, the commercial insurance arm of reinsurance giant Swiss Re, will acquire the global trade credit and guarantee business of Australian insurer QBE, subject to regulatory approval, which is expected to take several months.
The business unit acquired by Swiss Re operates in Australia, New Zealand and the United Kingdom, and the business portfolio is expected to generate annual revenue of approximately US$200 million.
QBE’s global trade credit and guarantee business is led by a team of experienced industry experts.
Globally, this segment of the insurance market generates approximately US$19 billion in annual premiums, and Swiss Re believes that heightened economic uncertainty, more complex supply chains and growing demand for complex risk transfer solutions will provide continued growth potential.
Once completed, the acquisition will strengthen Swiss Re Corporate Solutions’ key credit and guarantee insurance products and expand its capabilities to meet the risk management needs of corporate clients. The transaction is in line with the company’s ambition to diversify its portfolio and seize new growth opportunities.
Swiss Re Corporate Solutions aims to work closely with QBE to ensure continuity for policyholders, brokers and team members who are a key part of this transaction.
Financial details of the deal have not been disclosed.
Ivan Gonzalez, Chief Executive Officer (CEO) of Swiss Re Corporate Solutions, commented: “This acquisition marks an important milestone for Swiss Re Corporate Solutions. It allows us to strengthen our global credit and guarantee platform with a well-managed, profitable portfolio and an experienced team, thereby expanding our product offering in this attractive market segment. We are excited to build on QBE’s market-leading capabilities as we continue to offer differentiated products to help corporate clients navigate the evolving risk landscape.”
Andrew Horton, QBE Group Chief Executive, added: “Our decision to divest QBE’s global trade credit and guarantee business to Swiss Re Corporate Solutions supports our strategic focus of continuing to optimize our portfolio, enabling us to reallocate capital and resources towards growth opportunities that are more closely aligned with QBE’s long-term strategy.”
“Swiss Re Enterprise Solutions is pursuing this opportunity with ambition and enthusiasm, seeking our market insights, talent pool and delivery expertise to help accelerate business growth,” said Jason Harris, CEO of QBE International.
