GraceKennedy acquires Scotia Insurance in 5 countries, except Trinidad and Tobago

GraceKennedy Financial Group (GKFG) has completed its acquisition of Scotia Insurance Caribbean Ltd's (SICL) operations in five Caribbean countries, excluding TT.

Scotiabank and GKFG reached an agreement in August 2022 for a segment of the bank's insurance portfolio to be purchased by the Jamaica-based conglomerate. In a statement, the bank announced the deal "has closed."

"SICL previously offered credit protection on personal loans, residential mortgages, personal lines of credit, and personal and small business credit cards in five Caribbean countries namely: Barbados, Belize, the British Virgin Islands, The Cayman Islands, and the Turks & Caicos Islands," Scotiabank said in a statement on Tuesday.

It assured the transaction has no impact on the operations of Scotia Life TT nor the bank's customers with insurance products.

"All Scotiabank customers can continue to expect business as usual," it said.

"Scotiabank continues to invest in the Caribbean through the expansion of new products and services in insurance, wealth management and banking, including the roll out of next-generation ATMs, recent upgrades to our digital banking platforms, enhancements to our mobile app and the recent upgrade of our new online platform."

In a separate statement, the GraceKennedy Group said the new company will be rebranded GK Life.

"In addition to the seven Caribbean markets GK Life currently serves (Anguilla, Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, St Lucia, and St Vincent and the Grenadines), it will now also offer credit protection insurance in the five territories where SICL operated (Barbados, Belize, the British Virgin Islands, the Cayman Islands and the Turks & Caicos Islands). There will be no changes to existing customer policies associated with the acquisition.

Group CEO of GraceKennedy, Don Wehby said, “This is another bold step towards the fulfilment of our strategy to grow GK’s insurance business in the Caribbean, as we continue to expand the footprint of our financial group in the region. The addition of these five new territories to GK Life, means that we have grown GK’s life insurance business to 12 new markets in less than two years.”

Steven Whittingham, Deputy CEO of the GKFG with direct responsibility for the insurance segment said, “GKFG has been strategically building out its insurance business and expanding its presence across the region."

"In aggregate, we now have life operations in 12 markets...GKFG has established itself as a major pan-Caribbean insurer. We believe that with our extensive suite of insurers, products, technology and talent, we are well-positioned to continue to grow both revenue and profits in keeping with GK’s 2030 Vision,” he said.

GKFG previously acquired the seven markets of Scotia Insurance Eastern Caribbean Ltd in August 2021, after reaching an agreement in March.

In a statement then, it said it continued to offer credit protection on personal loans, residential mortgages, personal lines of credit, personal and small business credit cards to its Eastern Caribbean clients.

"We have been actively expanding our offerings in general and life insurance, as we see this sector as having significant opportunities for growth. GK Life will strengthen GKFG's position as one of the leading financial groups in the Caribbean, as we continue to expand our presence in the region."

GKFG comprises GK General Insurance, Canopy Insurance, Key Insurance, Allied Insurance Brokers, GK Insurance Eastern Caribbean, GraceKennedy Remittance Services, GraceKennedy Money Services, GK Capital Management and First Global Bank.