QBE BUYS SINGAPORE OPERATIONS OF ZURICH FINANCIAL SERVICES

Australian insurer QBE has bought Zurich Insurance (Singapore), the non-life insurance business of Switzerland-based Zurich Financial Services (ZFS). The deal is set to close by June 30. Last year Zurich Singapore had net written premiums of US$17m ($35m gross). QBE will use existing surplus funds in Asia to settle the purchase. ZFS said that its decision to sell its Singapore business was in line with its strategy to focus on key markets. In the past two years it has sold its Baltic businesses to Tryg Vesta, its eastern European operations to Generali and its US asset management operation Scudder to Deutsche Bank, amongst other divestment deals. QBE chief executive Frank O’Halloran said that the purchase “meets QBE’s acquisition criteria and is in accordance with QBE’s strategy to grow our business in Asia”. In late 2002 QBE took over the management of ZFS’ personal lines book in Australia.