Suncorp Group has completed the sale of its life insurance business, Asteron Life, to Resolution Life Australasia for $410 million.

Asteron’s Life’s staff, product offering, and adviser relationships will be retained following the acquisition by the giant, whose parent company is based in Bermuda.

Asteron Life will also continue operating under its existing brand and remain open for new business – unlike some of the other life insurance businesses acquired by Resolution Life.

Resolution Life already has a strong presence in New Zealand, having bought AMP’s life insurance book for A$3 billion in 2020.

The Reserve Bank of New Zealand took 18 months to approve the sale, as it was wary Resolution Life wanted to use a “run-off” model – make money by managing existing policies, rather than sell new ones.

The regulator put a number of conditions around the controversial sale to protect the 200,000-odd AMP Life policyholders.

Resolution Life assured it was taking a different approach with Asteron Life and wanted to grow the business.

Asteron Life’s executive general manager, Grant Willis, will also become chief executive and Asteron Life will be a standalone New Zealand-licensed and incorporate insurance company.

Willis said the deal would see Asteron Life transition into one of New Zealand’s largest life insurance businesses.

Meanwhile Suncorp New Zealand chief executive Jimmy Higgins said the transaction marked an “important milestone in Suncorp’s evolution into a pure play general insurer”.

Suncorp is one of several financial services giants, which has over the past decade simplified its business by getting rid of its life insurance book.

Resolution Life Australasia chief executive Tim Tez said the acquisition, agreed to in April last year, demonstrated the company’s “commitment to growth in the New Zealand market”.

“While Asteron Life and Resolution Life will continue to operate under separate brands in New Zealand, both businesses will benefit from the combined scale, capabilities and broader reach in the local market,” he said.

“We look forward to welcoming our new colleagues, customers, and advisers, and remain committed to ensuring a smooth integration process that prioritises a good experience.”

Jenée Tibshraeny is the Herald’s Wellington business editor, based in the Parliamentary Press Gallery. She specialises in government and Reserve Bank policymaking, economics and banking.