December 11 (SeeNews) - Vienna Insurance Group (VIG) said on Monday its two Croatian brands, bancassurer Erste osiguranje and Wiener osiguranje, are due to merge at the end of April 2018, subject to the approval by local authorities.
VIG is looking to capitalise on the strengths of its two Croatian brands by combining them in a single company, with a view to expanding the bancassurance business, it said in a statement.
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Following similar steps in Hungary, Slovakia and Austria, the supervisory boards of VIG’s companies in Croatia have given the go-ahead for their merger.
"Bundling the companies’ resources and competences will generate the maximum benefit for customers, the bank and the insurer. The bancassurance brand will also remain in place for customers of the Erste Group subsidiary in Croatia", Vienna Insurance Group CEO Elisabeth Stadler said.
Vienna Insurance Group entered the Croatian insurance market in 1999, and launched its bancassurance business in Croatia in 2005 in cooperation with its partner Erste Group.
VIG is currently the fourth-largest insurance company in Croatia, with a market share of 8.5%. The Group aims to increase its market share in the country to at least 10% in the medium term.