Allianz set to lose China partner

26 August 2005

Dazhong Insurance Co is to pull out of its partnership with Allianz, Europe's largest insurer in order to focus on the property and casualty insurance sectors, Bloomberg reported. Allied Dazhong Life Insurance Co was set up in 1999 with US$24.7 million of capital but the Chinese partner is now looking to sell its 49% stake with Allianz unable to purchase the stock due to government ownership regulations. Allianz says it remains committed to the Chinese insurance market, which is worth US$40 billion and growing at 30% a year.