Zurich Agrippina

Zurich Agrippina (ZA), the German arm of Zurich Financial Services Group (ZFSG), is clearly unhappy with its size in Germany. The company, which had a turnover of DM5.8bn in 1998, is neither small enough to be a niche player nor big enough to play in the top league. For years now, its parent company in Zurich has stated that it is on the lookout for a suitable acquisition in Germany – but chief executive Rolf Hueppi is maintaining a very high threshold. He believes German insurers are too expensive, and is only considering an acquisition if the new group member could rapidly generate a return on equity of 15%. This is hardly feasible in today’s market.