HSBC Bank has declined to comment on speculation it is looking to offload its general insurance business for around $US1 billion ($967 million).

Reports say Europe’s biggest bank has sent out offer circulars to potential buyers, which could include private equity bidders, with a deadline for initial bids set for mid-October.

HSBC sells both personal and commercial general insurance products in the UK, France, Hong Kong and Singapore.

HSBC CEO Stuart Gulliver announced plans earlier this year to cut $US3.5 billion ($3.4 billion) of costs over the next three years by closing the bank’s operations in 20 countries, cutting 30,000 jobs and shutting down other businesses identified as under-performers.