Ensuring Allianz Will Not Be Allowed to Rationalise Income Insurance’s Business After Acquisition

Assoc Prof Jamus Jerome Lim asked the Prime Minister and Minister for Finance (a) whether, in MAS’ review of Allianz’s plan to acquire Income Insurance Ltd, it required a commitment from Allianz to provide a capital adequacy injection to grow Income Insurance Ltd across all its business lines beyond the $2.2 billion that Allianz will be paying; (b) if so, how much and over what time period is this commitment; and (c) if not, how will MAS ensure Allianz will not be allowed to rationalise Income Insurance Ltd’s business after its purchase.

The Monetary Authority of Singapore will assess Income Insurance’s business strategy and capital management plan after Allianz submits its application to obtain effective control and be a substantial shareholder of Income.