ZURICH May 12 Swiss Life and Valiant
are discussing a distribution partnership, which may
include the insurer taking a stake in the bank, Swiss newspaper
Sonntag reported on Sunday, citing sources familiar with the
The tie-up would be a return to the bancassurance model once
pursued by rivals such as Zurich Insurance and
Winterthur, in which an insurer sells its products to a bank's
Under such partnerships insurance companies can expand their
customer bases without increasing their sales forces or paying
commissions to agents, while banks can earn additional revenue
by selling insurance products.
Swiss Life declined to comment on the report, while Valiant,
a collection of Swiss regional banks, was not immediately
Zurich-based Swiss Life has seen mixed success with past
cooperations, such as German AWD, a retail unit it bought for
1.2 billion euros ($1.56 billion).
AWD was beset with problems, including client advisors
exiting, to claims it improperly pushed products in Germany and
Austria, a charge AWD denies. Earlier this year, Swiss Life
rebranded the business as Swiss Life Select.
Last month, Valiant announced the surprise exit of Chief
Executive Michael Hobmeir with near-immediate effect for
($1 = 0.7709 euros)
(Reporting By Katharina Bart; Editing by Louise Heavens)