(Bloomberg) – Zurich Insurance Group AG, Switzerland's largest insurer, agreed to acquire Australia & New Zealand Banking Group Ltd.'s life-insurance businesses for A$2.85 billion ($2.2 billion).

The deal for OnePath Life will be earnings-accretive from the beginning and increase the firm's return on equity, Zurich Insurance said in a statement. The acquisition is expected to close by the end of next year and will make the firm the largest retail life insurer in Australia with a market share of about 19%.

Zurich Insurance has been restructuring under Italian Chief Executive Officer Mario Greco who has been selling assets, cutting jobs and lowering the insurer's risk profile after losses in its North American auto business prompted the company to abandon a high-profile takeover bid for RSA Insurance Group Plc. The Zurich-based firm bought Australian travel insurer Cover-More Group Ltd. earlier this year.

Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.