BGEO signs car insurance distribution deal with Liberty Bank

Georgia-based BGEO Group said its Aldagi property and casualty insurance subsidiary had signed a partnership deal with JSC Liberty Bank to sell motor third party liability policies through its branches.

As part of the partnership agreement, Aldagi's MTPL products will be offered in exchange for a commission based on the premium of each policy.

Liberty Bank is the third largest bank in Georgia by total assets, with the largest branch and service outlet network in the country.

BGEO chief executive Irakli Gilauri said the deal was in line with its strategy to unlock the full potential of Georgia's “significantly underpenetrated retail insurance segment”.

“By extending co-operation with another leading financial institution, Aldagi will be able to uncover additional sources of high quality deals for its leading insurance products, and continue to successfully diversify its multi-channel distribution network," he said.

BGEO Group is the holding company of JSC Bank of Georgia. In july it said said it intended to demerge and create separate London-listed banking and investment businesses.

Under the proposal, Bank of Georgia Group, will handle the firm’s retail, corporate and investment banking, leasing services and wealth management operations, while BGEO Investments would continue to invest in Georgian businesses, largely raising funds through its own financing relationships and resources.