Zurich to Sell General Insurance Operations in Taiwan to Hotai Motor

Zurich Insurance will sell its general insurance operations in Taiwan to Hotai Motor Co. Ltd., with the business to become part of the Hotai Group, subject to approvals and conditions from the supervisory regulator.

Hotai Motor Co. Ltd. has become the successful buyer following “a rigorous bidding process aimed at ensuring all the rights and obligations of customers will be safeguarded and fully protected,” said Zurich in a statement.

At the group’s Investor Day in May 2015, Zurich stated that reshaping its geographic footprint would be one of its highest priorities over the next two years as it seeks to build a more sustainable business while also improving overall profitability.

“Zurich’s decision to sell its general insurance business in Taiwan follows a comprehensive assessment that found, while the market in Taiwan remains attractive, there was limited scope for Zurich’s general insurance business to achieve an operating scale that warranted continued investment,” the company said.

Hotai Motor Co. Ltd is a highly reputable brand name in Taiwan’s motor vehicle industry, and sees great synergy with its current business operations as it seeks to establish a multi-line insurance platform, according to Zurich Taiwan Chief Executive Office Eva Ip.

Zurich General Insurance chief executive officer for Asia Pacific, Stuart A. Spencer, said: Zurich was focused on developing sustainable businesses that were built around meeting the growing needs of customers across the Asia Pacific region.

“The sale of our general insurance business in Taiwan marks an important milestone in our efforts to solidify our geographical footprint in Asia Pacific. We are proud of Zurich Taiwan’s heritage and pleased that such a respected company as Hotai is the buyer,” Spencer added.

Source: Zurich Insurance

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