Pacific Property Insurance Partners with Euler Hermes

China Pacific Property Insurance Co. has entered into an agreement with the French credit insurance company Euler Hermes to launch full cooperation in development of credit insurance products, operation and management and market development.

China Pacific Property Insurance hopes to introduce global leading credit insurance products, thus improving its underwriting capability and risk control in credit insurance sector. Euler Hermes is majority-owned by Allianz France, a subsidiary of Germany's Allianz.

The cooperation comes out of the strategic partnership between China Pacific Insurance Group and Allianz. Allianz bought in USD 150 million worth of H shares of China Pacific Insurance Group in December 2009, becoming one of the six cornerstone investors of the Shanghai-based insurer. Both subsequently reached a range of non-binding intents involving asset management, pension insurance and possibility cooperation in insurance product development, reinsurance and investment sectors.

Allianz additionally bought about USD 855 million worth of H shares in China Pacific Insurance Group this January, adding its overall stake up to 2.8%.