Global insurer acquires Sydney based provider for $722M

Zurich Insurance Group (Zurich) has successfully acquired Cover-More Group Limited (Cover-More), a leading travel insurance and assistance solutions provider with a strong market position in Australia and overseas.

The Sydney-based Cover-More controls about 40 per cent of the local travel insurance market, and also runs a medical assistance business and has operations in India, China, Malaysia, Singapore, Britain and the USA where the group owns Travelex Insurance Services.

This transaction is an important milestone for Zurich as it looks to significantly expand its travel insurance portfolio and grow in global travel and assistance markets. The acquisition of Cover-More positions Zurich as a top three global travel insurance provider.

“Travel insurance is a fast-growing industry and Cover-More is a recognized leader in this sector,” said Giovanni Giuliani, Group Chief Strategy, Innovation and Business Development Officer, with responsibility for Zurich’s travel business worldwide. “The innovation and capabilities this acquisition brings to Zurich are as important as the new products and services it adds to our portfolio. All of Cover-More’s strengths will be leveraged throughout our business and across our footprint. They will increase our global competitiveness, enhancing our ability to target new customer groups and strengthening our capacity to meet and exceed the needs and expectations of our customers around the world.”

“Cover-More is an excellent business and an excellent fit,” Jack Howell, Zurich’s Chief Executive Officer of Asia Pacific, said. “It represents a unique opportunity for Zurich to acquire a globally expanding platform and offer capital-light products with low volatility. The combination of their products and skills and our reach and international expertise is a win-win for Zurich and Cover-More as we continue to explore new ways to collaborate going forward. We are delighted to welcome them into the Zurich family.”

“The acquisition by Zurich, gives our business the ability to pursue our global growth ambitions with the strong backing of Zurich’s brand, reputation and global footprint,“ Mike Emmett, Group Chief Executive Officer, Cover-More Group said.

Cover-More will continue to operate as a discrete entity and will retain its brand.