St Andrew’s Insurance Group says its purchase of Aegon Insights Australia will enhance its position in the life market.

The insurer announced a deal last week to buy the insurance administration services provider from Aegon Group, a global financial services company based in the Netherlands.

It did not provide a value for the purchase, which is subject to approval from the prudential regulator.

“The acquisition, which includes a significant reinsurance portfolio, marks another strategic step in St Andrew’s growth journey … Aegon currently provides administration services to a portfolio of approximately 22,000 life insurance policies on behalf of several major insurers,” the company said.

St Andrew’s CEO Matthew Way says Aegon’s Australian operations will be managed in an “orderly and profitable manner, leveraging our strong capital position and operational capabilities.

“This is another important milestone as we deliver our growth strategy. We look forward to merging the Aegon and St Andrew’s businesses once we have regulatory approval.”