Allianz has acquired the outstanding 14% of the Brazilian subsidiary Allianz Seguros that were held by Brazil's private sector bank Itau Unibanco.

In a related development of P&C capabilities, Allianz Global Corporate & Specialty (AGCS) gained authorization to become an admitted reinsurer in Brazil in July 2009.

The firm said that the Allianz Seguros’ experience of the local market, combined with AGCS’s specialist know-how, will open up new business opportunities in the country and widen its client service portfolio in Brazil.

Allianz Seguros is active in the property and casualty insurance business in Brazil. From January to September 2009, Allianz Seguros in Brazil reported BRL1.4bn (approx. EUR511m) in gross written premium, which represents a 26.5% increase compared to the same period of the previous year. The company is also active in group health insurance business.

Enrico Cucchiani, member of the board of management of Allianz SE and responsible for the region, said: The now 100% holding of Allianz Seguros in Brazil underlines the importance of the Brazilian market and is a sign of our commitment to a market we believe has excellent growth opportunities.

“So far the Brazilian insurance market – life and non life operations excluding health insurance – has grown to be worth more than BRL68.6bn (approx. EUR26.6bn) and there is still room for future growth, especially by the rising purchase power of the population and the economic stability of the country.

The transaction was closed on January 14, 2010 and has been submitted to regulatory authorities for respective approval.