EUROINS Insurance Group to acquire Ukrainian travel insurer ERV

Bulgaria-based EUROINS Insurance Group (EIG) announced is acquiring ERV Ukraine, the travel insurance business of Germany-based ERGO, part of German global reinsurer MUNICH Re. "The two companies have signed purchase agreements. The deal is expected to be finalized after obtaining regulatory approvals".

The agreement stipulates further cooperation between EIG and ERGO including a transfer of ERV know-how and the opportunity for EIG to sell travel insurance products under ERV brand or a co-branding model in Ukraine and other countries where EIG is present.

ERV Ukraine is the second largest travel insurance provider in Ukraine with a market share of 10.7%. ERGO's Ukrainian subsidiary recorded GWP of EUR 5 million in 2017 delivering services to nearly 627,000 clients.

EIG operates in 8 countries providing services for 2.5 million customers. The group operates in Bulgaria, Romania, Macedonia and Ukraine via own subsidiaries and has been active in Greece since 2014. EIG has also niche operations in Italy and Spain.

In the last couple of years EIG has acquired Germany's TALANX Group's subsidiaries in Bulgaria and Ukraine, operating under HDI brand, Dutch insurer ACHMEA's insurance business in Bulgaria, known under INTERAMERICAN brand, as well as Australian group QBE's operations in Romania and Bulgaria. In 2017 Bulgaria-based company purchased the non-life insurance portfolio of ATE Insurance Romania, a subsidiary of Greece's PIRAEUS Bank, and acquired a significant stake in the Russian insurer RSO EUROINS.

Kiril BOSHOV, Chief Executive Officer of EIG, said: "The acquisition of ERGO's travel insurance business in Ukraine is in line with our strategy to expand and diversify our portfolio in Eastern Europe and strengthens our position as a leading insurance group in the region. We're quite satisfied that we'll cooperate with ERV in the area of sales of travel insurance products in Ukraine and other countries where we operate. We plan to preserve ERV Ukraine as a separate entity outside EUROINS Ukraine in order to focus our efforts on sales of travel insurance products."

Richard BADER, Chief Executive Officer of ERV, the specialist for travel insurance within ERGO, commented: "We're very happy to have EIG signing the purchase agreement including a far-reaching sales cooperation that helps us entering new markets and making our sales operations even more powerful."

Follow XPRIMM Publications on LinkedIn, for more data on the insurance and financial industry.

Share |

Related articles

UKRAINE: 63% of complaints in 2018 were about MTPL

According to the National Financial Services Committee, the number of complaints regarding insurance activities in 2018 remained almost unchanged (5381 vs 5389 in 2017). At that the major part (63%) of the complaints were about MTPL, as Forinsurer wrote.

2019-02-14

UKRAINE: 13 insurers left the market in January-September2018

According to the National financial services committee of Ukraine, in order to remove unreliable players from the financial market, 126 organizations, including 13 insurance companies, were removed during January-September, as the member of the Committee, Aleksander ZALETOV informed.

2019-01-10

ON THE MOVE

Supervisory Board Chair NN Group steps down

NN Group announces that Jan HOLSBOER, chair of the Supervisory Board of NN Group, has decided to step down as of the close of the annual general meeting (AGM) on 29 May 2019. The Supervisory Board has elected David COLE as Jan HOLSBOER's successor.

20.02.2019

Peter CLARKE named VP & COO of FAIRFAX

FAIRFAX Financial Holdings Limited announced that Peter CLARKE has been appointed Vice President (VP) and Chief Operating Officer (COO) of FAIRFAX, reporting to FAIRFAX President, Paul RIVETT.

12.02.2019

TOP EVENT

Inclusive Insurance - just a week to the second edition of IIF - CEE & SEE Regional Actuarial Insurance Conference in Skopje

Insurance should be accessible to all social classes, regardless of their wealth & income status. Products offered today are conventional insurance products, largely inspired from the developed markets as "one-size-fits-all" solutions, affordable to only middle- and high-income clients in the Eastern Europe's emerging & developing markets. Inclusive insurance's goal is making insurance available to all, with responsible insurance offers, thus making up for a solution to narrow the insurance coverage gap in the region.

20.02.2019

Latest trends and challenges in the property and motor insurance lines under scrutiny, in Vienna

Property and motor insurance lines are providing for about 75% of the non-life insurance business in the CEE region, but are responsible for over 77% of the claims expenses. As such, although other classes of risks are emerging, for the time being and most probably for a rather long period ahead, property and motor insurance lines will continue to be at the heart of CEE's insurance market architecture.

21.02.2019

FIAR 2019: Register before 28 February and save EUR 400 of the attendance fee

To the satisfaction of its traditional guests, FIAR returns in 2019 to its historical hometown, Sinaia. The forthcoming edition will benefit from the comfort and professional facilities of a new venue, the Conference Center of the International Hotel ****, located in the heart of the beautiful mountain resort. Registration is opened at a significantly discounted early bird rate until 28 February.

10.01.2019

See all