However, when it comes to the international life office offshoots of much bigger groups, the reality is that, in some cases, there is less than 100% commitment.
This is clearly a problem, because what is needed at the moment is considerable investment in technology, people and all the services that add up to a high quality 21st century business.
One perfectly reasonable avenue open to parent companies, having come to the view that their international life operations are not a priority for the future group strategy, is to sell.
Consolidation in the international life industry is very much on the agenda at the moment and much discussed at International Adviser’s successful 10th anniversary FundLinks Forum in London last month.
The good news here is that hopefully the business that is sold will find a home that not only adds economies of scale but also acts as a catalyst to achieving great things in the international space.
The more shining lights there are in the international life business, the better it will thrive, so well-resourced backers are an essential part of the industry’s future.
At the FundLinks life CEO roundtable, Michael Leahy, managing director of Prudential International Assurance, was the most direct of those present in saying that there would be consolidation and lots of conversations going on in the background over the next 12 months.
But it was consultancy NMG’s Ashwin Field, in the FundLinks keynote speech, who spelled out the life trends both now and in 2016: in essence, that international life companies need to increase their offering and restructure their distribution models to fight against “unprecedented challenges” in the industry over the next three years.
