Mergers and Acquisition in Insurance company

Yes. The life insurance in particular is busines of liabilities and it requires the continuos cash inflow which is vital point for the insurance company and the return of the investment. The company will have to choice either to increase their incomeflow or reduce the expenses. If you look at the annual report new business of various companies, their expenses and their losses, would it be not worth to merge 3 tiny companies in to one. That will increase their strength their geographical presense. Merger is not always the result  of the weakness but sometimes it s a step towards the growth also. The another benefit of the merger is a merger of culture also and a synergy can be created. The only point is that one has to avoid the clash betwn the culture.

Yes, why not? Every M&A bring oportunity to all stakeholders. be it companies as they got synergies, reduced infrstructure cost etc or be it client as the got better services, good reach etc. Beside this its a great toll to grow inorganicaly

Definitely mergers and aquisitions is the way to go for insurance companies because if two companies come together with their expertise in particular domains then they will be able to serve better to the general public.

What do you say?

Yes , as the private insurance companies have begun operations since more than 8 years now,the one way forward would be thru M & A.Also some would be going public in a year or so.

Going forward I think the best way for the insurance companies to grow will be through M&A.  This will lead to consolidation and more focussed approach. Business houses with their core areas which are different from insurance will move out and this will lead to more M&A activities.

I think I am on a completely different track in this case. Companies would actually grow with M&A the best example which I could give is of TATA-AIG.