AXA and HSBC announced yesterday they have entered into an agreement whereby AXA would acquire HSBC’s Property & Casualty (P&C) businesses in Hong Kong, Singapore and Mexico. In addition, AXA will benefit from a 10-year exclusive Property & Casualty bancassurance agreement with HSBC in these countries as well as in India, Indonesia and China.
This transaction will position AXA as the number one P&C player in Hong Kong, and strengthen its leading positions in Mexico and Singapore. The Hong Kong and Singapore businesses to be acquired benefit from multi-channel distribution, including through HSBC Bank branches, as well as strong agent and broker networks.
In Singapore, the general insurance as well as group life insurance portfolio (employee benefits) will be sold to AXA.
For life insurance business of HSBC Insurance, there is no change in ownership and the portfolio will remain under HSBC Insurance (Singapore) Pte Limited, which will continue to operate.