Allianz Commercial and US-based Coalition have entered into a long-term agreement under which Allianz will shift its stand-alone commercial cyber insurance business to Coalition.
The deal appoints Coalition as Allianz’s exclusive global cyber insurance partner across all commercial segments.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Coalition will assume primary responsibility for pricing, product development, risk mitigation and claims management for Allianz’s stand-alone commercial cyber portfolio.
Allianz will continue to provide underwriting, claims support and service delivery for multinational and large corporate customers.
The insurer will also supply long-term insurance capacity and provide access to its global distribution network.
The agreement will run for a minimum of ten years.
Allianz management board member Chris Townsend said: “Together, we are building a best-in-class global cyber offering that combines Allianz’s brand, market reach and financial strength with Coalition’s unique data-driven platform for underwriting and risk management, underpinning our growth strategy in this important segment.”
Under the terms, Allianz will receive upfront consideration through a larger equity stake in Coalition, along with performance-related elements linked to the cyber business’ growth and profitability.
Allianz also plans to make an additional equity investment in Coalition.
As part of the arrangement, Allianz will gain the right to appoint a director to Coalition’s board.
Oliver Bäte, currently an independent board member at Coalition, is expected to take up the nominated position once the transaction is completed.
According to the press statement, the partnership combines Allianz’s distribution reach and customer base with Coalition’s Active Insurance model, which integrates cybersecurity capabilities with insurance services, including cyber risk detection, threat mitigation and incident response.
The partnership will initially cover markets including Australia, Denmark, Canada, Germany, Sweden, the UK and the US, before expanding into additional regions.
The agreement builds on an existing relationship between the companies that began in 2022, when Allianz X, the investment arm of Allianz Group, invested in Coalition and supported its cyber insurance and capacity partnerships, as well as its expansion outside North America.
The press statement added that certain cyber specialists from Allianz Global Corporate and Specialty focused on large corporate risks are expected to join Coalition, subject to local labour law agreements.
The transaction remains subject to regulatory approvals and customary closing conditions.
Coalition CEO and co-founder Joshua Motta added: “By integrating Allianz’s cyber portfolio into our Active Insurance ecosystem and expanding our global alliance, we are delivering a superior, consistent solution for enterprises of all scales. Over time, we expect this transaction will position Coalition to become the largest writer of cyber insurance globally.”
