In 2022, it bought BNZ’s life insurance business, shortly before it was sold to Daiichi for $1 billion.
Partners Life provides life and health insurance to more than 340,000 people and has more than 400 employees.
As for Fidelity Life, it was founded in 1973 and is now owned by Guardians of New Zealand Superannuation (49.6%), Ngāi Tahu Holdings (24.9%), Fidelity Family Account (16.4) and other shareholders.
Having bought Westpac’s life insurance business in 2022, Fidelity Life provides life insurance to more than 300,000 people and distributes its products via 2600 advisers and partners.
Together, Partners Life and Fidelity Life would have nearly as much market share (according to insurance revenue) as the country’s largest life insurer, AIA.
Hong Kong-headquartered AIA became New Zealand’s largest life insurer in 2018, when it bought Sovereign from ASB’s parent.
The New Zealand life insurance sector has consolidated a lot over the past decade, partly as the Australian banks have sold their insurance and wealth businesses. The sector is now largely in the hands of specialist Asian insurers.
Indeed, Japan’s Nippon Life became a major player in New Zealand last year, when it bought Resolution Life.
Resolution acquired Asteron Life from Suncorp shortly prior, as well as AMP Life in 2021.
Coming back to the latest proposed sale, Partners Life chief executive Michael Weston said the proposed deal provided an opportunity “to build a strong and sustainable future that carries forward the relationships, experience and customer commitment people value today, while creating greater capacity to invest, adapt and support customers, advisers and partners over time”.
“It would also advance our purpose of building a brighter and more secure future for New Zealanders and reflect Daiichi Life Group’s confidence in, and commitment to, the New Zealand market and community.”
Fidelity Life chief executive Campbell Mitchell said the company was a “strong business built over more than 50 years on trusted relationships, deep local experience and a commitment to doing the right thing for New Zealanders”.
Jenée Tibshraeny is the Herald’s Wellington business editor, based in the parliamentary Press Gallery. She specialises in Government and Reserve Bank policymaking, economics and banking.
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