Wesfarmers notes sale of Lumley underwriting business to AIG leaps ACCC hurdle
Wesfarmers continues to expect regulatory progress towards the sale of its Lumley vehicle insurance business.
The Western Australian conglomerate sold Lumley to insurance giant Insurance Australia Group (IAG) last year, subject to regulatory approval.
Wesfarmers is now selling off insurance broking and premium funding operations to US behemoth Arthur J. Gallagher & Co.
Wesfarmers’ insurance broking businesses comprise OAMPS Insurance Brokers in Australia, OAMPS UK and Crombie Lockwood in New Zealand.
The premium funding operations in Australia and New Zealand comprise Lumley Finance and Monument Premium Funding.
“While this sale continues to remain subject to regulatory approvals, the Australian Competition and Consumer Commission has confirmed in April that it would not oppose Insurance Australia Group’s proposed acquisition of the Australian underwriting operations,” Wesfarmers says of the earlier deal.
A full go-ahead would put Lumley in the orbit of part-AIG-owned truck insurer National Transport Insurance (NTI) but that aspect but appears not to have concerned or been raised with the ACCC.
It had been more concerned about rural issues.