Private equity provides buyers as insurers divest

Private equity firms are snapping up assets as insurers divest their less profitable arms in difficult times. But regulators are concerned at the implications of fast-money firms owning long-term life businesses. Louie Woodall reports

Insurance groups wax and wane at the bidding of the economic cycle like any other business. In the manner of living organisms, they grow, they divide and, occasionally, degenerate and perish. During the past few years the giants of the European insurance landscape – including Axa, Generali and Aviva – have all sought to restructure and, in most cases, shrink their operations to adjust to the post-crisis reality. 

In the past six months, Aviva has sold business assets in Turkey and Italy, Axa has