(Reuters) — British insurer Aviva P.L.C. skeleton to launch a new product to cover tiny and medium-sized businesses opposite cyber attacks after this year as partial of an enlargement of a dilettante word division, a arch executive for U.K. word said.
Aviva, that done £3 billion ($3.8 billion) of handling distinction in 2016, also wants to take on a risk of some-more association grant schemes and is mulling a destiny of operations in several countries, including India, Andy Briggs told Reuters.
Aviva, that traces a origins behind to 1696 as a glow insurer, has been in turnaround mode given Chief Executive Mark Wilson took over in 2013. In 2015, it bought opposition Friends Life, that Mr. Briggs ran, to turn Britain’s largest life insurer.
The usually listed British insurer with a vast participation in life insurance, ubiquitous engine and home insurance, Mr. Briggs pronounced a firm’s healthy change piece meant it could now grow a share of a corporate and specialty markets.
“We are smaller there during a moment, though it’s an area where we are building capability and we are looking to grow,” Mr. Briggs said, after a duration when change piece struggles had singular a ability to write such business.
“Now we’ve got a most stronger change piece (and) we are some-more big to deploying capital.”
Corporate and specialty risk involves insuring formidable risks in anything from oil rigs to footballers’ legs and is dominated by Lloyd’s of London. It also includes cyber insurance, a marketplace approaching to grow, quite after final month’s “ransomware” conflict opposite a world.
Aviva has an “up to 5% ” share of a corporate and specialty risk marketplace in a U.K. currently, Mr. Briggs said.
It already has a tiny participation in a cyber marketplace and also provides blurb motor, blurb skill and employer’s guilt insurance, though does not offer word in dilettante sectors such as marine, appetite or aviation.
Mr. Briggs did not mention where a association would like to expand, over cyber.
In a bulk payments market, Aviva has started quoting on deals adult to £1 billion ($1.28 billion), ratcheting adult from a prior concentration on sub-£250 million ($319.2 million) deals, Mr. Briggs said.
Many British companies with tangible benefit, or final salary, skeleton — whose liabilities sum around $2 trillion ($2.554 trillion) — are looking to offload that risk as continued low seductiveness rates have pushed them into deficit.
The U.K. bulk payments marketplace is seen expanding to during slightest £12 billion ($15.32 billion) this year from £10 billion ($12.77 billion) in 2016.
“For a good 4 or 5 years, Aviva has been a vital actor during a smaller finish of a marketplace — we are relocating into a midsized deals,” Mr. Briggs said, where a association would contest with rivals including Legal General.
After a £5.6 billion ($7.15 billion) takeover of Friends Life, Briggs pronounced destiny understanding skeleton would be some-more medium — sub-£300 million ($383.1 million) pounds — and presumably tech-related, as normal insurers contest with digital startups.
Chinese online financial hulk Tencent Holdings and sidestep account Hillhouse Capital took stakes in Aviva’s Hong Kong business progressing this year, and Mr. Briggs pronounced that understanding could be a template for other Asian markets.
A tie-up with Western tech firms was also possible, he said.
“(Our) record is accurately what a Amazons and Googles and Facebooks would want, so eventually if they wish to make an word charity to their customers, it would be distant quicker and easier for them to do that by partnering with Aviva.”
As Aviva looks to a tech future, it is mulling a destiny of some-more mature businesses, Mr. Briggs said, including a sale of Spanish corner try stakes left after it pulled out of 3 for €475 million ($532.6 million) final month.
“Having sole a infancy of a Spanish business we need to afterwards ask a doubt ‘What do we do with a balance? Might it be adult for a sale?’ It’s a essential doubt to ask,” Mr. Briggs said.
Friends Provident International, that a source told Reuters progressing this year could be sole for $500 million-$700 million, and Taiwan are both underneath vital review, Mr. Briggs said, and skeleton for those businesses would be motionless first.
“That’s a focus”, he said, adding that nonetheless it was too early to contend what would happen, a organisation would also inspect a Italian business and a Indian corner try with Dabur Invest Corp.
“We are not confident with where we are today.”