HSBC considers selling Singapore insurance business: Sources
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HSBC’s Singapore insurance business includes life and critical illness, savings, personal accident and health.
PHOTO: REUTERS
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- HSBC is reviewing options for its Singapore insurance unit, HSBC Life (Singapore), which may include a sale valued at over US$1 billion.
- This review follows HSBC's global business revamps led by CEO Georges Elhedery, including previous disposals in Europe and North America.
- HSBC has affirmed its commitment to Singapore as a crucial international wealth and wholesale hub despite considering the potential sale.
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SINGAPORE - HSBC Holdings is exploring options for its insurance unit in Singapore
The bank and a financial adviser are working on a review of HSBC Life (Singapore), which could be valued at more than US$1 billion (S$1.29 billion) in a transaction, the people said. Other insurers and investment firms have shown early interest, they said.
Considerations are preliminary and no final decision has been made, the people said.
A representative for HSBC declined to comment on market speculation. He added that the bank is committed to Singapore as an international wealth and wholesale hub, and Singapore is crucial to its strategy and a key focus for investment and growth for the group.
HSBC’s Singapore insurance business includes life and critical illness, savings, personal accident and health. The bank has expanded its insurance presence in Singapore organically and via acquisitions, including the purchase of AXA Insurance for US$529 million in 2022.
There have been several insurance deals in South-east Asia in recent years, including Chubb’s acquisition of Liberty Mutual Holding’s businesses in Thailand and Vietnam. Sumitomo Life Insurance purchased Singapore Life Holdings, or Singlife, in 2024, and others including FWD Group Holdings have been active in the region.
In late 2024, Allianz withdrew an offer to buy a majority stake in Singapore’s Income Insurance - a blow to its ambitions in a key growth market.
A sale would follow other HSBC disposals in Europe and North America. In 2025, the bank agreed to sell its UK life insurance business to Chesnara and its custody business and private banking operations in Germany. It also sold its French life insurance unit.
Mr Elhedery has undertaken the biggest overhaul of HSBC in at least a decade, reorganising it into four divisions and exiting some businesses. Last week, minority shareholders of Hang Seng Bank voted in favour of HSBC’s US$14 billion buyout. BLOOMBERG
