Westpac NZ CEO on life insurance sale

Insurer welcomes $400 million deal

Westpac NZ CEO on life insurance sale

A $400 million sale has been finalised between the Westpac Group’s life insurance business Westpac Life and New Zealand’s largest locally owned life insurer, Fidelity Life.

Read more: Westpac completes $400 million sale of NZ life insurance business

The transaction was first announced on July 06, 2021, with the terms of the sale unchanged.

The NZ Super Fund and new investor Ngāi Tahu Holdings funded majority of the acquisition.

Westpac NZ CEO Catherine McGrath (pictured above) said Westpac Life customers are in good hands as the sale will not affect existing life insurance policies.

“This transaction allows our team at Westpac NZ to simplify what we do by focusing on banking and related services, while simultaneously building a relationship with a life insurance specialist who we know will look after our customers,“ McGrath said. “Fidelity Life is the largest New Zealand owned and operated life insurer with a singular focus on helping New Zealanders with their life insurance needs.”

McGrath also said Westpac Life insurance customers do not need to take any action with their existing policies as there is no change and the policies will continue under existing terms and conditions.

“They can also ring the same phone number they’ve always rung to talk to an expert about their life insurance,” she said.

As part of the sale, Westpac Life has been renamed Fidelity Insurance and  has entered into a 15-year life insurance distribution arrangement with Westpac NZ.

Westpac NZ will also distribute Fidelity Insurance products to its retail customers for the next 15 years.

Fidelity Life CEO Melissa Cantell said people are at the heart of the new alliance with Westpac NZ.

“We officially welcome around 50 new team members, 150,000 customers, a new large shareholder in Ngāi Tahu Holdings and a new strategic alliance partner in Westpac NZ to the Fidelity Life whanau,” Cantell said. “Completing this acquisition is an important step towards our aspiration to reimagine life insurance for New Zealanders. It will allow us to leverage the investments we’re making in data and technology, dial up our strong New Zealand brand even further and ultimately help more New Zealanders get the benefits of insurance protection.”

Westpac Life insurance customers have been sent information about the change.