AXA has announced it will buy Ireland's second-largest healthcare insurer

AXA has announced it will buy Ireland's second-largest healthcare insurer, Laia Healthcare, for €650 million. AXA has announced that it has entered into an agreement to acquire the insurer from AIG subsidiary Corbridge Financial.

Laya has a leading position in the Irish health insurance market with approximately 28% market share, serving 690,000 customers and paying premiums of approximately €800 million. With this acquisition AXA enters the Irish healthcare market with a top two market share position. Completion of the agreement is still subject to the conditions of regulatory approvals. Completion of the transaction is subject to customary closing conditions and regulatory approvals.

AXA in Ireland is a market leader in the distribution of motor vehicle insurance, holding over 30% of the market. It is an active business partner in home, commercial and farm lines of business. AXA operates in the Republic of Ireland and Northern Ireland, employs more than 1,450 staff and has an extensive branch network of 34 branches.

Marguerite Brosnan, CEO of AXA in Ireland, said the acquisition underlines AXA's commitment to Ireland and accelerates its entry into a regional and vibrant health insurance sector.

Patrick Cohen, Chief Executive of AXA Europe and Health, said: “We are delighted to be joining forces with Laya Healthcare, a company recognized in Ireland for its unwavering customer service, strong brand and technical expertise.

"With a relentless focus on innovation and customer experience, Laya will bring invaluable assets to our broader healthcare franchise, particularly in terms of digitization of the healthcare journey and healthcare-related services."

AXA's acquisition of Laya Healthcare is good for the market and good for consumers. It provides future assurance to around 700,000 Laya customers. From a consumer perspective, we can expect AXA to begin cross-selling other products to Laya membership over time. Hopefully that will give people better deals on motor and possibly home insurance. And may offer some form of discount or new type of health insurance to all AXA customers. The HIA (Health Insurance Authority) says there will be no change for Laya customers after the AXA deal.

It reassured customers that there will be no change for Laya policyholders after the transaction and Laya will continue to look after its customers as before. Around 2.5 million people hold some form of private health insurance in Ireland, representing 48% of the population. Laya's current market share is around 28%, Vhi at 49% and Irish Life Health at over 20%. The average premium in the market is €1,493, the HIA said.