Zurich Insurance Group (Zurich) has successfully acquired Cover-More Group Limited (Cover-More), a travel insurance and assistance solutions provider based in Sydney, Australia, for around AU$722 million (US$551 million). The acquisition received overwhelming support from Cover-More shareholders and its Board of Directors and received the approval of the Scheme of Arrangement by the Federal Court of Australia on 31 March.
“Travel insurance is a fast-growing industry and Cover-More is a recognised leader in this sector,” said Giovanni Giuliani, group chief strategy, innovation and business development officer, with responsibility for Zurich’s travel business worldwide. “The innovation and capabilities this acquisition brings to Zurich are as important as the new products and services it adds to our portfolio. All of Cover-More’s strengths will be leveraged throughout our business and across our footprint. They will increase our global competitiveness, enhancing our ability to target new customer groups and strengthening our capacity to meet and exceed the needs and expectations of our customers around the world.”
“Cover-More is an excellent business and an excellent fit,” Jack Howell, Zurich’s CEO of Asia Pacific, said. “It represents a unique opportunity for Zurich to acquire a globally expanding platform and offer capital-light products with low volatility. The combination of their products and skills and our reach and international expertise is a win-win for Zurich and Cover-More as we continue to explore new ways to collaborate going forward. We are delighted to welcome them into the Zurich family.”
Mike Emmett, CEO of Cover-More Group, said: “The acquisition by Zurich, gives our business the ability to pursue our global growth ambitions with the strong backing of Zurich’s brand, reputation and global footprint.”
Cover-More will continue to operate as a discrete entity and will retain its brand.