Insurance policies transferred to Pohjola

Transfer of life insurance business and EUR 1.2 billion life insurance portfolio acquired by Pohjola from Suomi Mutual was completed on January 1, 2005.

Suomi Mutual Life Assurance Company has, in accordance with earlier agreements, transferred an around EUR 1.2 billion life insurance portfolio and life insurance business with related IT systems to Pohjola Life Insurance Company Ltd (Pohjola Life), a subsidiary fully owned by Pohjola Group plc, at a sale price of EUR 23 million.

A part, worth EUR 16 million, of Suomi Mutual's medical expenses insurance portfolio was transferred to Pohjola Non-Life.

The insurance portfolio transfers were completed on January 1, 2005. At that date, an amount of investments corresponding to the technical provisions was also transferred, the main part of these investments consisting of cash.

As agreed, the insurance underwriting of Suomi Mutual was transferred to Pohjola Life, which will provide Suomi Mutual with insurance portfolio management services.
 
Altogether 232 people transferred from Suomi Mutual to Pohjola as old employees. 14 people remained in Suomi Mutual's service.