Ace Insurance has taken accident and health insurer Combined Insurance under its wing as a part of its Australian division.

Despite Ace’s parent purchasing the US-based Combined Insurance for $US2.56 billion ($2.63 billion) in April 2008, the accident and health insurer’s Australian branch continued to operate separately under its own banner until last week.

The move will see all 132 Combined Insurance employees joining the Ace team, although they will retain their individual distribution models and brands.

Ace Australia and NZ CEO Giles Ward says the amalgamation will see back office functions integrated later this year and next year, giving the group “increased diversity and efficiency”.

“The Combined brand fits well within our strategy to provide superior accident and health products and market leading customer service distributed via multiple channels,” he said.

“Ace’s accident and health capability and direct distribution capacity has been significantly strengthened through this integration.”