Acquirer: QBE Insurance (Australia) Ltd; Target: Gerling Australia Insurance Company Pty Ltd
Summary
Gerling wishes to exit most of the commercial insurance lines business. QBE intends to complete a transaction involving renewal services, ie upon expiry QBE will offer to renew the Gerling policies that are the subject of this transaction.
Outcome
Not Opposed
Date completed
23rd December 2002
Merger type
Horizontal
Guidelines thresholds
Unknown
Imports about 10%
Unknown
Market definition
In previous matters the Commission has considered the national market for general insurance as well as narrower geographic and product markets. Regardless of the market definition adopted in the present matter, no substantial lessening of competition appears likely.
Competition analysis
In reaching this conclusion the Commission noted this transaction does not involve QBE taking over any of Gerling's existing insurance contracts; it only confers on QBE the right to offer to renew the policies of Gerling's customers when their policies expire. On this basis no substantial lessening of competition appears likely and the Commission does not intend to oppose the proposed transaction.
