{"id":21117,"date":"2023-12-08T22:21:52","date_gmt":"2023-12-08T22:21:52","guid":{"rendered":"https:\/\/www.insurance-canada.ca\/?p=79281"},"modified":"2023-12-08T22:21:52","modified_gmt":"2023-12-08T22:21:52","slug":"aviva-to-acquire-optiom-vehicle-replacement-insurance-business","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2023\/12\/08\/aviva-to-acquire-optiom-vehicle-replacement-insurance-business\/","title":{"rendered":"Aviva to acquire Optiom vehicle replacement insurance business"},"content":{"rendered":"<ul class=\"a-list-unordered max-6 desktop-max-8\">\n<li><strong>Aviva to acquire Optiom for consideration of c. \u00a3100m (CAD$170m)<\/strong><sup class=\"supscript\">[<a href=\"https:\/\/www.insurance-canada.ca\/2023\/12\/08\/aviva-acquire-optiom-vehicle-replacement\/#notes\">1<\/a>]<\/sup><\/li>\n<li><strong>Supports Aviva\u2019s capital-light growth in attractive Canadian market<\/strong><\/li>\n<li><strong>Strengthens Aviva Canada\u2019s specialty lines business and distribution capabilities<\/strong><\/li>\n<\/ul>\n<p>San Diego, CA (Nov. 6, 2023) \u2013 Aviva plc is pleased to announce the acquisition of Optiom O2 Holdings Inc. (Optiom) from Novacap and other minority shareholders for consideration of c.\u00a3100m (c.CAD$170m)<sup class=\"supscript\">[<a href=\"https:\/\/www.insurance-canada.ca\/2023\/12\/08\/aviva-acquire-optiom-vehicle-replacement\/#notes\">1<\/a>]<\/sup>. Optiom, which operates as a managing general agent (MGA), is a leading provider of vehicle replacement insurance in Canada and offers flexible payment options to customers.<\/p>\n<p>The acquisition expands Aviva\u2019s capital-light businesses, which make up over half of Aviva\u2019s portfolio, and grows Aviva Canada\u2019s presence in a profitable segment of the Canadian insurance market. As an existing underwriting capacity provider for Optiom, the transaction provides an opportunity for Aviva Canada to increase its access to an attractive line of business, while securing a stable, growing stream of distribution income. Optiom\u2019s strong distribution relationships will allow Aviva Canada to reach additional customers, who will receive best in class service alongside existing Aviva Canada customers.<\/p>\n<p>Tracy Garrad, Chief Executive Officer of Aviva Canada, said: \u201cThe acquisition strengthens our offering and distribution capabilities in a highly attractive segment of the Canadian insurance market. We know Optiom well through our existing relationship and are excited about what we can do together to better serve our brokers and customers.\u201d<\/p>\n<p>The acquisition is consistent with our capital management framework, which remains unchanged. We continue to anticipate further regular and sustainable returns of surplus capital.<\/p>\n<p>The transaction is subject to customary closing conditions including regulatory approvals and is expected to close in Q1 2024.<\/p>\n<h4 class=\"smallhead\">Notes<\/h4>\n<p>1. Based on GBP\/CAD spot rate of 1.72 as at 24 November 2023.<\/p>\n<h4 class=\"smallhead\"><b>About Optiom<\/b><\/h4>\n<p>Founded in 2008, Optiom is headquartered in Calgary with over 100 employees. Optiom originated in British Columbia and has now become Canada\u2019s largest provider of vehicle replacement insurance licensed across all provinces and territories in Canada, excluding Quebec. Optiom distributes its products through a network of over 330 dealers and over 900 broker offices and has sold over 600,000 policies since inception. Optiom offers premium financing solutions through an associated company within the Optiom group<\/p>\n<h4 class=\"smallhead\"><b>About Aviva<\/b><\/h4>\n<p>Aviva plc is the UK\u2019s leading Insurance, Wealth &amp; Retirement business and we operate in the UK, Ireland and Canada. We also have international investments in India and China. For more information, visit <a href=\"https:\/\/www.aviva.com\/\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">aviva.com<\/a>.<\/p>\n<p class=\"referencetext\"><em>SOURCE: Aviva plc<\/em><\/p>\n<p> Tags: <a href=\"https:\/\/www.insurance-canada.ca\/tag\/acquisition\/\" rel=\"tag\">Acquisition<\/a>, <a href=\"https:\/\/www.insurance-canada.ca\/tag\/aviva\/\" rel=\"tag\">Aviva<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Aviva to acquire Optiom for consideration of c. \u00a3100m (CAD$170m)[1] Supports Aviva\u2019s capital-light growth in attractive Canadian market Strengthens Aviva Canada\u2019s specialty lines business and distribution capabilities San Diego, CA (Nov. 6, 2023) \u2013&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[1],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/21117"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=21117"}],"version-history":[{"count":0,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/21117\/revisions"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=21117"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=21117"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=21117"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}