Icatu Hartford climbs the rankings after Nationwide deal

Brazilian insurance group Icatu Hartford's agreement to acquire Nationwide Brazil's private pension business will see it climb on the rankings for both pension contributions and assets, Icatu Hartford said in a statement. The deal was announced this week and it will take Icatu Hartford to number eight and seventh place respectively on the pension contribution and asset rankings, from its earlier ninth position on both rankings. US-based Nationwide decided to exit Brazil due to a shift in its international strategy and reached an agreement to sell its Brazilian pension business to Icatu Hartford and the life business to four executives at its local subsidiary. Nationwide Brazil president Philip Healey told BNamericas that he and the other three incoming owners of Nationwide in Brazil have decided to change the name of the company and will probably announce the new name next month. The new name will reflect the company's exclusive focus on the life business as Icatu Hartford is taking over Nationwide Brazil's pension business. Nationwide Brazil and Icatu Hartford have also signed a pension distribution partnership to ensure a smooth transition for Nationwide's clients and brokers when the pension area changes hands after regulatory approval. Nationwide Brazil has 30 offices and 500,000 clients with annual life insurance premiums of about 100mn reais (US$39mn). Icatu Hartford has 4 million clients and 2bn reais in assets. Icatu Hartford is a joint venture between Rio de Janeiro-based holding Icatu and US financial services company The Hartford (NYSE: HIG). The group is the largest non-bank player in the Brazilian life insurance market and it also operates in the areas of private pension plans, capitalization bonds and asset management.