Aviva plc is set to acquire Optiom O2 Holdings Inc for approximately £100 million, enhancing its presence in the Canadian vehicle replacement insurance market.

Information on the Target

Optiom O2 Holdings Inc, commonly known as Optiom, is a prominent managing general agent (MGA) based in Calgary, Canada. Established in 2008, Optiom has grown to become the country’s leading provider of vehicle replacement insurance, operating across all provinces and territories, except Quebec. With a workforce of over 100 employees, the company has successfully sold over 600,000 policies to date, establishing a strong foothold in the Canadian insurance marketplace.

Optiom distinguishes itself by offering flexible payment options, catering to diverse customer needs. Its extensive distribution network encompasses over 330 dealers and 900 broker offices, which enhances its market reach and customer service capabilities. Additionally, Optiom provides premium financing solutions through an affiliate, further reinforcing its commitment to customer satisfaction and service delivery.

Industry Overview in Canada

The Canadian insurance industry is robust and competitive, characterized by a variety of segments including life, health, property, and casualty insurance. The vehicle replacement insurance niche has witnessed significant growth, primarily driven by in