Pioneer to buy Allianz’s stake in joint venture

The Pioneer Group will purchase the 50-percent stake in Pioneer Allianz Life Assurance Corp. from the Allianz Group, its joint venture partner in the Philippines.

Following the successful combined efforts by Pioneer and Allianz in establishing and developing Pioneer Allianz Life Assurance Corp. over the last five years, the company’s future direction will now be assumed by Pioneer. This decision follows Allianz’s business review in line with current and expected market developments, as well as Pioneer’s confidence to successfully take the company forward to its next phase.

Pioneer and Allianz have enjoyed a fruitful five-year partnership, during which the company’s new business premiums grew from P8.3 million in 1998 to P174 million in 2002, climbing from No. 26 in 1998 to the top 10 ranks in the Philippine life insurance market.

David Coyukiat, head of the Pioneer Group said: "The new company will be called Pioneer Life Inc., effective Jan. 14, 2003. As a wholly-owned company of the Pioneer Group, it will build on the knowledge, technological expertise and broad business perspective gained over the past five years. Backed by the resources of the Pioneer Group, it is ready to face its new future as a world-class company."

Pioneer will honor all policies held by Pioneer Allianz customers, and policy conditions will not be affected by the alteration in ownership structure.

Pioneer has been a top three player in the Philippine non-life industry active for half a century. It brings with it an extensive local branch network, internationally trained managers and is Philippine cooperation partner to close to a dozen international insurers.

Allianz is one of the world’s leading providers of financial services and comprehensive insurance solutions in over 70 countries, with a staff force of over 180,000 serving more than 60 million customers. It has an extensive network of life, health and general insurance operations in the region.