Legal & General continues to scale back operations in Europe as it has completed the sale of its Dutch business for €161 million (£137 million).

 

The insurance giant sold Legal & General Netherlands to Chesnara, a deal which was first announced in November 2016. The insurer said the business sale has slightly improved the group coverage ratio and delivered a small profit.

 

Headquartered in Hilversum, Netherlands, the divested business wrote protection gross written premiums of €63 million in 2016, serving more than 210,000 policyholders. Established in 1984, the company has funds under management of €2.1 billion.

Want the latest insurance industry news first? Sign up for our completely free newsletter service now.

 

“Chesnara is delighted to have acquired another well-run and attractive business in the Dutch life assurance market,” said Chesnara chief executive John Deane, adding that the Legal & General unit will complement their closed book consolidation business Waard.

 

“We see great opportunities for both organisations within the Chesnara group to deliver value to our customers, their advisors and our shareholders,” Deane said.

 

City A.M. noted that Legal & General Netherlands was the company’s last EU insurance business outside of the UK that had been sold. According to a report, the insurer will no longer have a footprint on the continent, although it has a range of EU-domiciled investment funds.

 

Legal & General has been disposing non-essential businesses, instead focusing its capital and resource on core businesses in growth markets. It previously sold businesses in Ireland, France, Egypt, the Gulf, and the UK companies Suffolk Life and Cofunds.