16th Jul 2007 09:00
Aviva PLC16 July 2007 News release 16 July 2007 DELTA LLOYD TO SELL HEALTH BUSINESS AND CREATE LONG-TERM ALLIANCE WITH CZ Aviva plc ("Aviva") announces that its Dutch business, Delta Lloyd Group ("DeltaLloyd") has reached an agreement to sell its health insurance business to O.W.MCZ Groep Zorgverkeraar U.A ("CZ"), a mutual health insurer, and create along-term alliance for the cross-selling of insurance products. Under the terms of the agreement CZ will purchase the Delta Lloyd healthinsurance business. Delta Lloyd will continue to market and distribute healthinsurance products from CZ to its existing customers under the Delta Lloyd, OHRAand ABN AMRO brands. CZ will take on the underwriting risk and policyadministration. Under the new alliance, Delta Lloyd will have exclusive rights to market life,general insurance and income protection products to CZ's 2.6 million customers.Delta Lloyd will continue to provide asset management for the transferred healthinsurance business. This agreement will enable Delta Lloyd to focus on its core life and generalinsurance businesses whilst providing access to products from a top three healthinsurance provider and continuity of service to customers. Delta Lloyd has previously stated that it believes significant scale, with aminimum customer base of 2 million policyholders, is required to competesuccessfully in the Dutch healthcare insurance market. The enlarged CZ businesswill have a customer base of over 3.3 million. The Delta Lloyd health insurance business had gross assets of £1 billion as at31 December 2006. The transaction is expected to take effect from 1 January 2008, subject toregulatory, competition and other customary approvals. -ends- Enquiries: MediaHayley Stimpson, director of external affairs +44 (0)20 7662 7544Sue Winston, head of group media relations +44 (0)20 7662 8221Matthew Newton, Finsbury +44 (0)20 7251 3801 AnalystsCharles Barrows, investor relations director +44 (0)20 7662 8115Amanda Wilbraham, investor relations senior manager +44 (0)20 7662 2111 Notes to editors: Aviva • Aviva is the leading provider of life and pensions in Europe with substantial positions in other markets around the world, making it the world's fifth largest insurance group based on gross worldwide premiums at 31 December 2006. • Aviva's principal business activities are long-term savings, fund management and general insurance, with worldwide total sales of £41.5 billion and assets under management of £364 billion at 31 December 2006. Delta Lloyd Group • Aviva's Dutch business, Delta Lloyd has operations in the Netherlands, Germany and Belgium. In 2006 the group achieved total income of over €8 billion with over 6,400 employees. Delta Lloyd Group has 700,000 health insurance customers. CZ • CZ is a mutual health insurer with 2.6 million customers and over 2,600 employees. The turnover of CZ was €4.3 billion at 31 December 2006, excluding the implementation of the Exceptional Medical Expenses Act. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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