Makati—(PHStocks)—BDO Unibank Inc. (PSE: BDO) recently secured final regulatory approval that allowed it to acquire full interest in Generali Pilipinas Holdings Company Inc. (GPHC). GPHC is the joint venture vehicle created out of the insurance partnership forged between BDO and Generali of Italy (Generali Group) in March 1999. GPHC is the parent firm of life insurer Generali Pilipinas Life Assurance Co. (GPLAC) and Generali Pilipinas Insurance Co. (GPIC), which is engaged in non-life insurance.
BDO is re-focusing its insurance strategy to align with its thrust to solidify its presence in the broad-based middle income market. By assuming full control of the GPHC insurance operations, BDO will be able to adapt more readily to the demands of its target markets. BDO President and CEO Nestor V. Tan noted that the while the partnership with Generali has been integral to the success of the companies to date, BDO intends to embark on a new journey of diversifying into the life insurance sector via this new wholly owned unit to maximize cross selling of products to its extensive retail customer base.
GPLAC will be renamed BDO Life Assurance Company Inc.
Moreover, Generali Group has acquired GPIC and relaunched the company as life insurer, Generali Life Assurance Philippines Inc. (GLAPI).
Generali states that “Over the past 15 years, Generali has built up a solid track record working in partnership with BDO. Generali has an extensive network of quality service providers and strong local relationships in the country. It intends to leverage these strengths and grow its group and retail businesses for the long term. Generali Life Assurance Philippines Inc. will provide employee benefit solutions via group life and medical insurance to multinational corporations, as well as small and medium enterprises. It also plans to expand its product offerings to include individual life products. With Generali’s international experience and product and service innovation, Generali Life Philippines aims to become a significant player and cater to the insurance and financial needs of the Filipinos.”
This transaction between BDO and Generali will have no impact whatsoever on the terms and conditions of all existing GPLAC individual and group policies. These policies will remain in their present form and will be fully honored notwithstanding the change in ownership. GPLAC will continue to support and service all existing policyholders as provided for under their in force policies.
BDO is a full-service universal bank which provides a wide range of corporate and retail banking services, including traditional loan and deposit products, as well as treasury, trust banking, investment banking, private banking, rural banking, cash management, leasing and finance, remittance, insurance, retail cash cards and credit card services.
BDO has one of the largest distribution networks, with more than 1,000 operating branches and over 3,000 ATMs nationwide. It also has a branch in Hong Kong as well as 26 overseas remittance and representative offices in Asia, Europe, North America and the Middle East.
BDO ranked as the Philippines’ largest bank in terms of total assets, loans, deposits, capital and trust funds under management based on published statements of condition as of March 31, 2016. For more information, please visit www.bdo.com.ph.
The General Group is among the world’s leading insurers, with total premium income exceeding €74 billion in 2015. With over 76,000 employees across the world and a presence in more than 60 countries, the Group has a leading position in Western European countries and an increasingly significant presence in Central and Eastern Europe and in Asia. In 2015, Generali was the only insurance company included among the 50 smartest companies in the world by the MIT Technology Review. In Asia, Generali operates in 10 markets: Hong Kong, China, India, Indonesia, Japan, Malaysia, Philippines, Singapore, Thailand and Vietnam.