HSBC Insurance Appoints New Management; Maintaining Leading Position in Hong Kong in First Half

HSBC Insurance has appointed Bruce Howe, currently deputy regional head of insurance for HSBC Insurance (Asia-Pacific) Holdings Limited [84722], as the chief executive officer and head of insurance for the United-Kingdom, Europe and the Middle East.

According to HSBC, Howe was a partner at Trowbridge Deloitte and established Trowbridge's health practice prior to joining the bank. He has also worked in the region for 15 years taking up positions as an executive and consultant in both life and nonlife insurance sectors.

In addition, HSBC Insurance has appointed Paul Menzies as the head of insurance, North Asia and regional head of strategic development. Menzies will be responsible for Taiwan and Korea, as well as regional strategic development. He will also provide support for mainland China and Vietnam.

Menzies has had 40 years experience in the insurance industry and worked in various senior positions in the New York-listed global health service company CIGNA [58703], where he was formerly CEO Asia Pacific, E*Trade and AIG [18540].

The bancassurance unit has also appointed Paul Arrowsmith, currently CEO of HSBC Insurance (Singapore) as head of insurance, South-East Asia, managing the strategic development of insurance businesses in Malaysia, Indonesia and the high-net-worth segment. He will also support business development in India.

David Fried, group general manager and regional head of insurance Asia-Pacific, the Hongkong and Shanghai Banking Corporation Limited, said in a statement that Asia-Pacific is an integral part of the group's global strategy, making "over 40% of total insurance profits."

Fried added the group's key focus in the next few years is to "consolidate its investments in Asia-Pacific to gain maximum benefits from the synergies created by its strategic partnerships and acquisitions."

According to the Office of the Commissioner of Insurance (OCI) of Hong Kong, HSBC has ranked number one in both individual life new business (regular premium) and investment-linked insurance business (regular premium) in the second quarter of 2009, with market share of 22.4% and 24.9%, respectively.

The bank said that its individual life new business (regular premium) rose 159% compared to the second quarter of 2008; while its overall life insurance sector recorded regular premium new business dropped around 21.3% during the period.

For the investment-linked insurance business, the bank's premiums increased by 1,506% in the first half of 2009 compared to the corresponding period of 2008.