More consolidation is forecast for the European market following the birth of a new insurance heavyweight, which plans a stock market flotation in two years' time.
Eureko, which was formed on Monday, is the result of a merger between Portugal's Banco Comercial Português (BCP) and Netherlands' insurer Achmea.
The Amsterdam-based group becomes the 16th largest insurer in Europe, with a pro-rata premium income of £4.3bn and assets of almost £30bn. The next largest is Sweden's Skandia.
BCP will be the smaller partner in Eureko, owning 15% of the group's £2.5bn share capital to Achmea's 72%. The remaining stake is held by the Eureko Alliance, a linked company, which includes UK insurer Friends Provident.
Despite its size, however, the financial giant's worth is dwarfed by CGNU's £16bn market capitalisation.
Eureko will offer a full range of insurance services, from life and pension products to general insurance, and has leading market positions in the Netherlands, Portugal and Ireland.
Chief executive João Talone said: “We have the ambition to achieve high performance standards based on strong local brands and market knowledge, becoming the first real European financial services and insurance group.”
