American International Group (AIG) has signed a bancassurance agreement to serve as exclusive provider of non-life insurance products to HSBC Group customers in Turkey and France.
Following the partnership launch in the first half of 2013, AIG expects to pay a total consideration of nearly $55m.
The agreement also includes providing non-life insurance products to the customers in other countries in Continental Europe.
AIG will also acquire HSBC’s French non-life subsidiary, HSBC Assurances IARD (HAI), for total consideration of $14.5m, which is subject to receipt of customary regulatory approvals.
As part of AIG’s strategic business expansion, the distribution arrangement will provide enhanced access into the country’s consumer and commercial SME non-life insurance lines.