BDO Unibank Inc. will maximize the cross-selling of products though wholly owned insurance unit Generali Pilipinas Holdings Co. Inc. (GPHC).
BDO announced it has secured regulatory approval to acquire full interest in GPHC—the joint venture created through the partnership between the bank and Italy’s Generali Group in March 1999.
GPHC is the parent of Generali Pilipinas Life Assurance Co. (GPLAC) and Generali Pilipinas Insurance Co. (GPIC). GPLAC will be renamed BDO Life Assurance Company Inc.
While the partnership with Generali has been integral to the success of the companies, BDO President and Chief Executive Officer Nestor Tan noted the lender intends to diversify into the life insurance business via GPHC to cross-sell products to its retail customer base.
The bank is re-focusing its insurance strategy with its thrust to solidify presence in the broad-based middle income market.
By assuming full control of GPHC, the bank will be able to adapt more readily to the demands of its target markets.
The lender also announced the Generali Group has acquired GPIC and relaunched the company Generali Life Assurance Philippines Inc. (GLAPI).
“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,” Generali stated.
Generali Life Assurance Philippines Inc. (Generali Life Philippines) will provide employee benefit solutions via group life and medical insurance to multinational corporations, as well as small and medium enterprises, it added.
It 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,” Generali noted.
BDO said its transaction Generali will not impact 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,” the bank said.