Agis Zorgverzekeringen (health insurance), Menzis zorg en inkomen (health and income) and the Delta Lloyd group health insurance companies, Delta Lloyd and OHRA health, have reached an agreement on the proposed alliance, which was announced on 8 June.
Agis Zorgverzekeringen (health insurance), Menzis zorg en inkomen (health and income) and the Delta Lloyd group health insurance companies, Delta Lloyd and OHRA Health, have reached an agreement on the proposed alliance, which was announced on 8 June. This is a major step towards the merger of the companies involved.
Initially, the new health insurance combination will operate under the name of DAM Zorgverzekeringsgroep (health insurance group). Clients of the new health insurer will normally still be insured under the current brands of Menzis, (including Confior, Anderzorg, Ardyn and Prové), Agis (including Prolife), OHRA and Delta Lloyd.
The merger includes all activities in the areas of health insurance, additional medical expenses insurance and implementation of the AWBZ (Dutch Exceptional Medical Expenses Act). This will create one of the leading health insurance companies in the Netherlands with 4 million insureds and a market share of 25%.
Market perspective
The main considerations underlying the decision of Agis, Delta Lloyd group and Menzis to merge their health insurance operations are:
- To jointly create a socially committed, competitive, innovative, financially solid and healthy company that is strongly placed in terms of both market position and size
- To improve their management of claims and realise cost savings, specifically on the purchasing side and to achieve a more streamlined internal organisation
- To establish a health insurer on a national scale with strong regional roots
- To reinforce the distribution network by using direct, intermediary and bancassurance networks.
The new health insurer will endeavour to offer high quality care with a high level of service at competitive costs and aspire to the highest standards of customer satisfaction. The new health insurer will also invest in innovation and product development. Due to its social commitment, it aspires to playing a leading role in the healthcare debate.
Delta Lloyd group will sell the health insurance products of the new combination exclusively through its distribution channels. Delta Lloyd group can also offer general and life insurance to DAM’s clients and will take care of the asset management for the new combination.
Future organisational structure
The three health insurers will present the proposed alliance to their works councils and councils of members or shareholders. The NMa (Netherlands Competition Authority) has already stated on 10 October that it has no objection to the proposed merger.
It is agreed that each party will provide two members of the executive board. The allocation of roles within the executive board is as follows:
- Roger van Boxtel, CEO
- Emiel Roozen, Finance
- Rob Adolfsen, Processes and Automation, Facilities
- Diana Monissen, Health (including AWBZ)
- Martin Duvivier, Marketing
- Ruben Wenselaar, Payment Processing and Customer Service
The supervisory board will be chaired by Flip Buurmeijer, who will be joined by Bram Anbeek van der Meijden and Rudi Boekhoven (representing Agis), Niek Hoek and Rob Hillebrand (representing Delta Lloyd group) and Barbara Fransen, Willem de Jong, Mariëtte Doornekamp and Henk van Oene (representing Menzis). Eelke van der Veen has declined to accept a position on the supervisory board as he is standing as a candidate for the Dutch Parliament.
Coming months
It is intended that the new health insurer will be established on 2 January 2007. Then, as from the spring, its management will be integrated into the new executive board. The integration will require further shaping until 1 January 2008, after which the integration will also be completed physically over subsequent years.
Locations
As has already been announced, the headquarters of the new organisation will be in Amersfoort and the total number of locations will be reduced whilst maintaining a clear presence in core areas. Menzis’ offices in Enschede and Groningen will remain open whilst those in Rotterdam and Zwolle will close. The number of other offices will be determined by means of an accommodation plan in the course of 2008. The consequences of this are being considered with the trade unions and the relevant consultative bodies.
Qualification
The above information is subject to consultation with the relevant regulators and consultative bodies and the approval of the relevant councils of members or shareholders.
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For more information contact:
Agis, Sabine van Aken, 033 445 5856, 06 20 61 26 79,
Delta Lloyd group, Angélique Bronneberg / David Brilleslijper, 020 594 4488,
Menzis, Richard Lancée, 038 467 7631 of 06 55 36 81 79