Territory Insurance Office chooses Allianz

Allianz Australia has been selected to purchase the general insurance business of the Territory Insurance Office (TIO).

In the agreement with the Government of the Northern Territory, Allianz will also and enter into a 10 year agreement to manage the Government Motor Accidents Compensation scheme.

TIO’s general insurance business will transfer to Allianz’s ownership and Allianz will start servicing the Government Motor Accidents Compensation scheme on January 2, 2015, subject to the passage of relevant legislation.

The TIO’s brand will remain unchanged and the cover provider by TIO’s property insurance products will continue to include cover for flood, cyclone and storm surge.

Niran Peiris, managing director of Allianz Australia, said: “Allianz is honoured to be chosen as the preferred bidder of the Territory Insurance Office, a Territory icon. Allianz was attracted to TIO because we see northern Australia, particularly, the Northern Territory as the region that will play a major role in Australia’s growth and development in the decades ahead.

“Allianz is Australia’s fourth largest insurance company, but our presence in the Northern Territory is well below that of other States. Thus, TIO was a perfect ‘fit’ for Allianz in a business sense.”

Allianz Australia had gross written premiums of $3.9 billion in 2013. TIO had gross written premiums of around $130 million in 2013.