Macquarie Insurance Broking Services sees international expansion
Macquarie Relationship Banking had acquired 100% of Insurance Pay Canada Inc. (Insurance Pay), expanding its specialist insurance broking services internationally.
Under the terms of the acquisition, Insurance Pay will become a wholly-owned subsidiary of Macquarie Bank Limited.
Insurance Pay, a Canadian premium finance company, provides short term loans to commercial customers to finance their insurance premiums. Insurance Pay is headquartered in Toronto employs 11 people.
Macquarie also plans to take its insurance broking services expertise to London. Initially it will provide insurance brokers with finance for mergers and acquisitions, with plans to provide premium funding in the near future.
According to Macquarie Relationship Banking, the offshore expansion will benefit Australian insurance brokers. Its goal to deliver clients with ideal products and services can be enhanced through learning’s it gains from both Insurance Pay and these new markets.
The expansion can also benefit insurance brokers by providing them with a new strategy to maintain their bottom line in a softening market. Softening premiums are impacting many insurance broker’s incomes so many brokers are endeavouring to maintain profitability through business acquisition and improved business efficiency. And its international expansion becomes the third strategy available for insurance brokers.
Macquarie’s offshore expansion, combined with its industry expertise, makes it the ideal financier to assist insurance brokers pursue business opportunities such as merger with, or acquisition of, brokerages in either the United Kingdom or North America.
Macquarie’s Insurance Services team’s entry into North America and the United Kingdom is consistent with Macquarie’s global strategy of selectively entering markets where there is a genuine opportunity to introduce its specialist skills and services.
18-May-2007