United Kingdom insurer Aviva to exit Taiwan market

Aviva is streamlining its business to focus on its core markets

Aviva is streamlining its business to focus on its core markets

This year, the insurer has also sold its stake in three Spanish joint ventures, its Italian joint venture and part of its French business, as it tries to focus on its core markets of Britain and Canada.

Aviva declined to put a price tag on the sale, but Annie Lee, head of investor relations at Taiwan's First Financial, said Aviva sold its share in the joint venture, First Aviva Life, for $1.

Aviva said in a statement that the decision came following a review which found the business did not fit with the group's aim of focusing on markets where it could achieve scale or have a distinct competitive advantage.

"This was not about financials, it was more a strategic decision", an Aviva spokeswoman said.

The insurer also said that the transaction, which is expected to be completed in 2018, has a negligible impact on its net assets, solvency II capital position-a key metric of financial stability for insurers-and operating profit.

"We have refocused Aviva's Asian business on core markets where we have excellent opportunities to grow", said Chris Wei, executive chairman of Aviva Asia and global chairman of Aviva Digital.

Aviva first entered Taiwan in 2007 but considered leaving in 2010 and 2012 when they realised how hard it was to turn a profit in the country's low-rate environment.

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