Suncorp brand Apia has signed a distribution alliance with health insurer Nib in a drive to capture new markets.

The “white labelling” agreement will give Nib access to Apia’s client base.

Apia Senior Manager Business Partnerships Danae Croft says the new health insurance offering will complement the company’s range of specialised insurance products.

“Our customers are keen for us to provide a tailored private health insurance offering,” she said. “Nib’s approach allows us to provide something that aligns with Apia’s approach and high standards.”

Nib GM Australian Residents Health Insurance Rhod McKensey says the health insurer had been seeking a partner to help it enter the over-50s market.

“This alliance with Apia provides us with a solid platform to expand our market share in what is a very attractive and growing segment, while still allowing us to maintain our focus and strong positioning in the under-40s demographic,” he said.

At December 31 more than 4 million Australians aged over 50 held private health insurance, with the number growing 3% a year, according to Nib.

The segment accounts for more than 37% of total private health insurance coverage.

Nib will underwrite the products and pay Apia a commission on sales, with Nib responsible for ongoing customer service on policies.

The products will exclude treatments such as obstetrics, antenatal and postnatal, but will include services relevant to over-50s, such as joint replacements, heart procedures and hearing aids.