The NCB Financial Group is awaiting the green light from regulator the Financial Services Commission, FSC, to begin streamlining its insurance arm.

Having taken over large regional insurance conglomerate Guardian Holdings Limited last year, NCB is now looking transfer the insurance and annuities business of NCB Insurance Company, NCBIC, to Kingston-based Guardian Life Limited.

NCBIC will continue to operate as a pension fund administrator and investment manager but will cease to write insurance.

However, NCBIC will still also sell insurance products on behalf of Guardian Life but will do so under a new name, and is, therefore, seeking to be licensed by the FSC as an insurance agent under the Insurance Act. It is also seeking a securities dealer licence under the Securities Act.

Guardian Life is essentially acquiring NCBIC’s insurance operation, but NCB Financial has not put a price on the transaction.

Deputy CEO and Chief Financial Officer of NCB Financial Group Dennis Cohen said that the banking group was not in a position to disclose the finer details of the transaction at this time.

“The transaction will be at arm’s length, the details of which I can’t get into now because there are actuarial considerations,” he told the Financial Gleaner.

“Suffice it to say while there will be a transfer of some assets, Guardian will effectively take on liabilities in taking on the portfolio,” Cohen said.

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