PGGM hives off insurance arm
The e48bn PGGM pension fund for the Dutch healthcare sector has rebranded its insurance division as Careon, in line with legislation to come into the Netherlands from 1 January next year.
Under the law change, designed to create a level playing field for insurance companies marketing to the pensions arena, the new company can only market to members of the pension fund on an individual basis if the member already has a product through the former PGGM insurance arm. Careon can, however, market its services directly to employers.
Kees Verhagen, a spokesperson at PGGM, says the name reflects the ‘care’ sector that the insurance company will operate in. He adds that the new insurance company is currently in discussion as to the type of products that it will offer, as well as its marketing approach towards employers within the healthcare sector.
The new Dutch law also stipulates that insurance firms that are part of pension funds cannot create new products without a recommendation from the fund’s social partners.