Meanwhile, speculation is mounting that another major foreign-owned Australian insurer is about to be taken over, possibly by German insurer Allianz. While details are sketchy, sources say the local heads of Allianz are overseas discussing the deal.

And in other developments, troubled German insurer/reinsurer Gerling is still trying to arrange a rescue package to prevent it going into run-off. The company, which is owned by Rolf Gerling and Deutsche Bank, has not attracted a buyer since it was put on the market several months ago.

It’s understood that reinsurers meeting at the annual Baden-Baden conference in Germany this week haven’t formulated a rescue package for Gerling Re. If that’s the case and a buyer isn’t found within a short period, the sixth-largest global reinsurer may disappear from the scene.