Paris, 1st October 2015
CNP Assurances and AG2R LA MONDIALE, two leading personal insurance providers in France, have announced today that they are in exclusive talks with a view to establishing a partnership in the field of private pensions.
The partnership will take the form of a 40% investment by CNP Assurances in Arial Assurance, a subsidiary of AG2R LA MONDIALE dedicated to company retirement savings. The corporate governance of this joint venture, renamed Arial CNP Assurances, will be balanced between both Groups. Bringing together the expertise, resources, and business of AG2R LA MONDIALE and CNP Assurances(1) in the field, the objective for the new company is to become the leading company retirement savings provider and enable optimization of resources through economies of scale and pooling of investments.
Subject to definitive approval from the corporate governance bodies, and upon issuance of the opinion of the social partnership bodies and permits and authorisations from the competent authorities, Arial CNP Assurances should be operational in the first quarter of 2016. The joint venture is expected to represent close to €12 billion in additional pension commitments.
AG2R LA MONDIALE is currently number two(2) on the private pensions market, and counts 60% of companies listed on the CAC 40 among its clients. The Group is also the premier pensions operator for AGIRC-ARRCO, serving one in four companies in the private sector.
CNP Assurances, as the number-one provider of personal insurance with the third-largest(2) share of the private pensions market in France, covers the pensions savings needs of 9 million French people(3), working with 4,600 businesses, 20,000 local authorities, associations, and many mutual and personal risk insurers.
According to Frédéric Lavenir, CEO of CNP Assurances, and André Renaudin, CEO of AG2R LA MONDIALE: “As the number-one provider of personal insurance in France and the number-one social protection Group, respectively, our two groups owe it to themselves to drive forward the coverage of retirement needs of the French people, a major issue for our fellow citizens. Combining our expertise and technical and commercial resources, along with our position as historical actors on the company retirement savings market we have the capacity to create a major new market player. The new company will be in a position to offer businesses and employees better products and services in order to optimise their pension solutions.”
1 Excluding Préfon pensions; the public service pension scheme will not be covered by the new subsidiary and will remain with CNP Assurances
2 Source: Argus de l’assurance 2014
3 Consolidated figures for France 2014