QBE Insurance (Australia) Ltd - acquisition of options to acquire Concord Agency Companies.

Summary

QBE Insurance (Australia) Ltd - acquisition of options to acquire Concord Agency Companies.

Market definition

General insurance in Australia.

Competition analysis

On 25 January 2005 the ACCC decided not to oppose the acquisition. QBE supplies general insurance products in Australia. Concord is a collection of underwriting agents that distribute insurance products to intermediaries (agents and brokers). The ACCC considered that the acquisition was unlikely to raise upstream rivals' costs because: Concord does not distribute any other insurance underwriters' products; and insurers have other distribution channels as well as the ability to vertically integrate.

Merger type

Vertical

Initiation

Parties