Willis says Resolution's proposed deal to acquire Asteron Life is very different to its first foray into New Zealand when it bought AMP Life and put the business into run off.

Many advisers expressed their frustration about dealing with Resolution/AMP Life, particularly around communications and service levels.

Willis says the proposed Asteron deal is quite different. Resolution will be supporting Asteron's growth ambitions, is keeping the current management team (including Willis) and is not rebranding the business.

Resolution has acknowledged things didn't go that well with AMP, he says.

Willis also points out Resolution Life Australasia itself has changed with a relatively new Australasian boss, Tim Tez, who has been in the role less than 18 months.

Tez and Willis have been out talking to staff and advisers about the deal. Willis says reaction has been mixed.

Around 70% of advisers have said there will be no change; with around 20% adopting a ‘wait and see’ approach and the remainder don't think it is a great outcome. However, some of these advisers are now starting to see a new owner could be good for Asteron Life.

Willis says it should be no surprise Suncorp has agreed to sell Asteron Life in New Zealand, the surprise, he says, is the acquirer.

There's no suggestion it (the deal) is going to change the direction of Asteron

 From a Suncorp perspective business units are often subject to strategic review. More importantly the company had already sold its Australian life business and its bank and was simplifying its business concentrating on general insurance.

There were multiple potential suitors for Asteron Life, but Resolution prevailed.

His message is there will be no change; other than accelerated growth.

"There's no suggestion it (the deal) is going to change the direction of Asteron," he says.

Willis says it is a good outcome for Asteron it can now invest for growth including around digitising it business and its brand. With Suncorp as an owner Asteron was not necessarily always top of the list for new investment, but that changes with Resolution.

Even without the investment the company wanted it had been growing successfully organically, while other life companies in New Zealand had sought growth through acquisition (most noticeably buying bank operations). 

Willis says Resolution acknowledges the AMP Life sale had difficulties for advisers. 

"This is quite different to AMP," Willis says. They are buying the Asteron shares and essentially buying a licensed entity that is on a successful growth trajectory.

The deal is still subject to regulatory approval and is expected to take about nine months to complete including the regulatory requirements.

Once it's done Resolution will be the second largest life insurer by annual premium income in New Zealand.