AMP

AMP’s life insurance arm was sold to Resolution Life Australia Pty Ltd. Existing AMP Life Insurance customers will keep their policies with its current terms and conditions; however, Resolution Life will be taking over the risk.

Published October 25, 2016

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About AMP

For more than 160 years AMP has helped Australians protect themselves, their families and their business against financial loss.

AMP Elevate closed for new business

As of 31 January 2019, Australians can no longer purchase new AMP life insurance policies. However, AMP Elevate applications will generally still be accepted if you fit one of the below qualifying criteria:

1. You are an existing AMP Life customer: A person or entity that owns a life policy issued by AMP Life and/or is a member of the AMP superannuation fund.

2. Customers making premium payment via one of AMP’s platforms: iAccess, Generations, My North, North, and Summit.

Existing AMP Life customers will not be affected by this change.

AMP is the leading independent wealth management company in Australia and New Zealand, providing insurance, superannuation, investment products and financial services to more than 4 million customers. Having grown stronger after acquiring AXA’s Australian and New Zealand business in 2011,AMP specialises in a variety of financial products and services, including, but not limited to: Income protection, disability and life insurance, superannuation, retirement income and banking & investment services.

History of AMP Insurance

The Australian Mutual Provident Society (AMP) has a rich Australian History, dating all the way back to 1849. AXA, formerly known as National Mutual Life Association of Australasia, opened 20 years later in 1869.

In 1995 the National Mutual Life Association got listed on the Australian stock exchange (ASX) and went from being owned by members to being owned by shareholders. In 1999 they changed their name to AXA Asia Pacific. In 1998, AMP also got demutualised and listed on the stock exchange.

In 2011 AXA and AMP merged and AMP acquired all AXA’s Australian and New Zealand business, while AXA SA would acquire all of AMP’s Asian business. By 2013, the AXA brand became generally phased out of the Australian and New Zealand market and fully integrated within AMP.

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Key Statistics

With over 4 million customers and $101.6 billion assets, AMP Insurance was ranked number 510 in the Forbes Global 2000 list. The company’s has reinsurance treaty agreements with three of the biggest reinsurers: RGA, Swiss RE and Munich Re.

AMP is listed on the Australian stock exchange (ASX), and on the 18th August 2016 reported a $523 million net profit for the first half of 2016 (to June 2016).

AMP has the largest financial advice network in Australia and New Zealand, with 4,259 aligned and employed financial advisers & planners. In 2015 AMP paid out $944.7 million in claims payments.

AMP FAQ

  • When did AMP merge with AXA?

    AMP merged with AXA in 2011, their first day of operation as a merged group was on 31 March 2011.
  • Why does AMP have two products?

    After the 2011 merger, the insurance, superannuation and investment products from AXA and AMP were continued but rebranded therefore AXA Elevate was rebranded to AMP Elevate and AMP Flexible Lifetime Protection (AMP FLP) remained as is.
  • I heard that NMLA policies might transfer to AMP Life, is this true?

    The transfer is not definite yet. Five years ago the National Mutual Life Association of Australia Limited (NMLA) commonly known as AXA became part of the AMP group. They are now proposing to transfer all the Australian and New Zealand life insurance business of the NMLA to AMP to help simplify their financial and administrative processes. If the transfer is approved, it will take effect on 1 January 2017.
  • How will I be impacted if the transfer of NMLA policies to AMP Life is approved?

    If you are an NMLA policy owner, you can rest assured knowing that there will be no changes to your policy terms and conditions, or how it’s administered. The premium you pay and the amount you’re covered for remains the same, it’s only the insurer that’s changed.

    As an AMP Life policy owner, your policy terms and conditions will also remain unchanged.
  • I have an AXA Elevate policy, who should I contact?

    Any concerns surrounding your AXA policy can be directed to the AMP Insurance team.
  • I have an AC&L policy, who’s covering me now?

    Australian Casualty & Life (AC&L) was a business unit of National Mutual Life Association of Australia Limited. It was taken over by AXA in 1995. After the 2011 merger of AMP and AXA, all policies including AC&L, falls under AMP.
  • I noticed my AC&L income protection policy has a lifetime benefit period. Is this still offered?

    The lifetime benefit is no longer offered, although AC&L did offer lifetime benefits to customers in the past. If you previously set up your policy to receive such a benefit, you may still be entitled to this benefit. However, it’s always best to check with AMP and make sure what exactly you’re covered for if you have any questions or talk to a specialist insurance consultant.
  • I had an AXA Elevate product, has my cover changed?

    Generally no your cover remains the same. AXA Elevate was simply rebranded as AMP Elevate when the merger happened. However if you need to confirm what you are covered for it is best to talk to a specialist or AMP directly for details regarding your policy.
  • Can underground miners qualify for AMP income protection products?

    Yes, the AMP Elevate product does offer select occupations income protection cover for underground miners and many of the related positions in the mining industry. Most of the occupations can obtain a 2 year benefit period, with select occupations eligible to age 65 benefit periods if they have a number of years of experience in the eligible occupation. The Occupation rating used for most of the mining related occupations for the Elevate product is C.

    If you took out a policy with either AMP or AXA before the merger and feel there are still some questions left unanswered, or you’d like to know more about taking out a new AMP policy, please contact one of our experienced consultants or call us directly on 1300 135 205.
  • Is AMP’s Flexible Lifetime Protection (FLP) product closing; what will happen to my policy?

    It is true. As of 1 October 2017, AMP will no longer accept new FLP applications, which means that FLP policies will effectively become a legacy product, closed for any new business.

    However, existing FLP policy owners will still receive flexible and comprehensive cover and be able to change their cover to suit their needs.

    If you currently have an FLP application in progress, you will still be issued a new policy. No new Flexible Lifetime Protection policies will be issued from 1 January 2018.

    AMP stated that their decision resulted from their commitment to making insurance less complex and more efficient, by working toward providing customers with a single, competitive offer.

    By striving to continue to meet customers’ needs the AMP Elevate insurance product will continue to evolve and be enhanced to meet their needs.
  • What will happen to my policy now that AMP Life is being sold?

    AMP Limited is selling its wealth protection and mature businesses to Resolution Life. Resolution Life Australia Pty Ltd is a wholly owned subsidiary of Resolution Life Group Holding LP, an international insurance and reinsurance group based in the UK.

    AMP’s life insurance arm is being sold because of the sharp rise in client withdrawals and losing new business to cheaper competitors. AMP Limited hopes the sale will strengthen their balance sheet and provide strategic flexibility, reshaping the company as a more straightforward group, focused on its Australian wealth management business (AMP Capital and AMP Bank).

    Existing AMP Life customers will have their policy terms and conditions retained, meaning your policy remains as it is now. However, Resolution Life does not intend to continue issuing new policies – only managing in-force ones.

    Resolution Life will assume the risk and profits of AMP Life from July 2018, subject to Australian wealth protection risk-sharing agreement. The transaction is expected to be completed during the second half of 2019, subject to regulatory approval.

    Resolution Life has over 15 years’ experience specialising in the purchase and management of legacy life insurance products, like AMP Life and has to date acquired 27 life insurance companies.

    Their mission is to deliver policyholder benefits and quality service to in-force insurance customers.

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