AMP set to close GIO chapter
The integration of the GIO business into AMP Financial Services has reached the final stage with an application to transfer the business to be made to the Federal Court on December 8th.
The transfer will move the life business of GIO over to AMP adding the 350,000 policy holders of the former to that of AMP's 1.5 million life policy holders.
AMP Financial Services managing director Andrew Mohl says the transfer would not have a negative effect on any policy holder.
AMP had made extensive efforts with policy holders and regulators to ensure GIO policy holders would feel no negative effects with some in a better situation after shifting over to AMP according to Mohl.
Policyholders with GIO will receive information detailing the changes and will also be able to enter submissions to the Court if they feel they will be disadvantaged by the move.
According to Mohl the cost of transferring the business would be about $140 million but result in savings of $200 million per annum.
AUTHOR
Jason Spits
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