El Salvador antitrust watchdog okays acquisition of Aseguradora Vivir

El Salvador’s antitrust watchdog (SC) has given its blessing for holding group Perinversiones to purchase local insurer Aseguradora Vivir, having decided the acquisition would not generate anti-competitive effects in the banking and insurance markets. 

The request to review market concentration, presented on December 13, 2019, was made pursuant to regulatory approval for the deal, and with the SC ruling in favor, Aseguradora Vivir will become part of Perinversiones, a group that owns the savings and loan firm Constelación and Banco Abank. 

Aseguradora Vivir ventured into El Salvador at the hands of Grupo Zablah and is a regional extension of the Dominican Republic-based Grupo Humano, which is formed by Primera ARS, Humano Seguros and Seguros Vivir.

The institution found no evidence that the transaction could lead to damage to the market and to insurers, after evaluating nationwide services for group insurance, consumer loans, business loans and insurance banking marketing.

Aseguradora Vivir primarily sells group life insurance, as well as debtor’s insurance and accident and health policies. The SC evaluation found that the purchase of its operations could be classified as a non-horizontal concentration, that is, that its companies are not direct competitors because they participate in different markets.