'We have to be constantly innovating'

US insurer AIG has sold units across Latin America to Canada's Fairfax Financial Holdings. Among them is its Chilean P&C business, which is in the process of changing its name to Southbridge Insurance Company.

BNamericas spoke to general manager of the Chilean business, Fabiana De Nicoló, about the changeover and whether the operation will introduce changes under its new owners.   

BNamericas: Can you tell us a little about the transition?

De Nicoló: The transition has been very stable, without jolts and carried out on very good terms with AIG. In Chile we're excited about the arrival in Latin America of Fairfax, which is without doubt a strong global player. We currently have new reinsurance contracts that are the best in the Chilean market to continue providing a quality service to our clients and commercial partners.

Approval by sector watchdog SVS was quick which allowed us to implement changes swiftly and our clients have not noticed change in the service we provide. We're currently waiting for SVS to approve the name change.

BNamericas: Are you planning to make strategic changes, expand, for example?

De Nicoló: The insurance market is very dynamic and competitive, especially because of the recent mergers and acquisitions we've witnessed, so we need to be constantly innovating. In light of this, we are planning to introduce new business lines in the future, always differentiating ourselves by being an innovative insurer that introduces new products in the sector and new technological tools, with the focus always on the client.

The key strategy involves being agile and flexible and close to the client and employing a decentralized work model, with a focus on becoming increasing valued by our clients so we build our futures together; with quality service and timely payment of claims. We are positioned to be a good insurance company and a good option for the Chilean market.

BNamericas: What challenges do you face?

De Nicoló: Diversifying the portfolio of products, innovating and continuing with technological advances in today's digital age; applications for smartphones and new online tools for our brokers.

Today our company is among the 10 top P&C firms with the strongest premiums, earnings and operating results, positioning us as leaders in the market. We want to be the P&C insurer that is the closest to its customers and the most professional, flexible, agile, transparent and client-oriented, generating long-term relationships and providing support when we are most needed.

BNamericas: Does the Chilean market continue to be seen as the most attractive in the region by foreign firms?

De Nicoló: Foreign firms, generally speaking, seek big opportunities in Chile, because of its economic stability and because it is the front door to Latin America. Many companies use it as a staging post to expand into other countries such as Peru or Colombia. Also owing to M&A activity and the arrival of new players in recent years, the market has become more competitive.