The Commonwealth Bank has received the necessary regulatory approvals to exit its 80% interest in the major Indonesia life insurance business, PT Commonwealth Life (PTCL).
The big banking group has announced to the Australian Securities Exchange (ASX) that the 80% interest had been transferred to PT FWD Life Indonesia with the transaction expected to complete next month.
It said that on completion of the transaction, the Commonwealth Bank’s Indonesian banking business, PT Bank Commonwealth, would enter into a 15-year distribution partnership with FWD Group for the provision of life insurance products.
It said PTCL customers would retain all the current benefits of their existing policies and the partnership would allow PTBC’s banking customers to retain access to high quality life insurance products.
The exit from the Indonesian life insurance operation follows on from CBA’s sale of its CommInsure business to AIA Australia.