The announcement follows Zurich’s parent company stating it would acquire OnePath Life for $2.85 billion back in December 2017.
The completion of the sale sees Zurich acquire the OnePath brand and product range, along with more than 500 employees who have joined the Zurich Life and Investments team across Australia, Zurich said in a statement.
It also marks the commencement of a 20-year agreement for the distribution of life insurance through ANZ’s bank channels.
Zurich said it intends to invest further in the OnePath brand and OneCare life insurance offering, and both the Zurich and OnePath brands and product sets will continue to compete with – and complement – each other in the open market.
Zurich Life and Investments chief executive Mr Tim Bailey said that this strategy would allow both customers and advisers to benefit from the breadth of choice offered by two specialist life insurance brands.
“We’re delighted to see the OnePath Life and Zurich teams come together to create one of Australia’s leading life insurers,” Mr Bailey.
“Both Zurich and OnePath share a longstanding Australian heritage, with strong brands that are well supported by advisers and customers.”
Mr Bailey said he sees continued investment in both the Zurich and OnePath offerings as crucial at a time when advisers are demanding more choice and more innovative ways to meet their clients’ protection needs.
“Both Zurich and OnePath are known for their innovation and advisers can expect to see that continue with updated product and service offerings to be rolled out by both brands during 2019,” said Mr Bailey.
Further, Zurich’s acquisition sees a new combined leadership team take effect comprising senior members from the previous Zurich and ANZ/OnePath teams.
Mr Bailey said that, from a practical perspective, advisers and customers should expect to notice little, if any, change as a result of the acquisition, with the dedicated infrastructure of both businesses remaining in place.
“We have been able to assemble a team of leaders who are amongst the most talented and respected in the industry, and I think the balance of the team sends a powerful signal about our intention and capability to execute our multiproposition strategy”, Mr Bailey said.
“Advisers don’t want any further disruption, and with each brand continuing to be supported by dedicated teams, they will see no change in processes, relationships, or contact details.”