Insurance and wealth management group Tower New Zealand is set to combine its insurance and operations and its investment businesses and replace divisional heads with one CEO.

Group MD Keith Taylor says it has become apparent that a more streamlined structure for the entire NZ business will enhance the strength of the brand.

The company will return to the same structure that it adopted a few years ago when Jim Minto, now CEO of Tower Australia, was CEO of all but one division of Tower NZ.

A search for the new CEO is expected to take several months. It is understood Insurance and Operations CEO Paul Hunt will leave the company once the appointment is made. It is unclear what role Investment Businesses CEO Paul Bevin will play.

Mr Taylor says the strategy over the next few years is one of substantial growth and further improvement in Tower’s market position. “The new CEO of Tower NZ will have a key leadership role in ensuring these objectives are met.”

Sunrise Exchange News reported last week that Tower’s NZ operation is set to spin off its Australian wealth management arm through a separate listing on the Australian Stock Exchange. Existing Tower shareholders will probably retain ownership in the business.

The company believes the Australian market has difficulty recognising the wealth management arm as an Australian entity and is confusing it with the wider Tower group.