Munich Re sells four ERGO subsidiaries to EIG
Munich Re-owned ERGO Group, which includes ERGO Deutschland, ERGO International, and ERGO Digital Ventures, in March 2019 sold four ERGO International subsidiaries to the Euroins Insurance Group (EIG) for an undisclosed amount.
The sale involves ERGO’s life and non-life subsidiaries in Romania and the Czech Republic as well as its non-life company in Belarus. In 2017 they had a combined gross written premium of €72 million.
The purchase agreement will see EIG acquire all shares in the four firms held by ERGO. Employment contracts, the client portfolio, and IT systems are included in the sale, which will not impact obligations towards ERGO’s current clients.
Represented in more than 30 countries, ERGO has been re-assessing its international business activities in terms of strategic relevance, position, and market appeal.
Bulgaria-headquartered EIG, meanwhile, is one of the largest independent insurance groups operating in the Central and Southeastern Europe markets. It specializes in international travel assistance, motor vehicle, property, accident, health, and liability products as well as cargo, agricultural, financial, marine, and aircraft insurance.