The merger between Barmenia and Gothaer has created Germany’s tenth-largest insurance group. Life and health insurance policies will be integrated, although the latter will take some time.
The merger of Gothaer and Barmenia into Germany’s tenth-largest insurance group has been finalized in less than a year. The financial supervisory authority BaFin has given the green light, the two mutual insurance associations (VVaG) announced on Monday.
Now, the merger only needs to be registered in the commercial register, which is expected to happen at the beginning of September. Together, the Cologne-based Gothaer and the Wuppertal-based Barmenia will generate around eight billion euros in annual premium income, employ 7,500 people, and manage 50 billion euros in capital investments. As mutual insurance associations, they essentially belong to the policyholders.
“Now it’s time to build a company with a shared culture and vision from the enormous potential created by our combined strengths,” said Gothaer CEO Oliver Schoeller, who, together with his Barmenia counterpart Andreas Eurich, will form a dual leadership. The merged company will be named BarmeniaGothaer. It will be managed by a financial holding in which Gothaer Versicherungsbank VVaG holds a 64 percent stake, and Barmenia Versicherungen a.G. holds 36 percent. However, all major decisions are to be made unanimously.
Gothaer is particularly strong in life insurance, while Barmenia is best known for its health insurance. Therefore, Barmenia Leben is to be merged into Gothaer Leben in September. Gothaer Kranken will merge into Barmenia Kranken; however, this is expected to take up to three years, according to the announcement.
