29 Apr 2010

Asteron out of KiwiSaver

7:40 pm on 29 April 2010

Asteron Life pulled out of the KiwiSaver market on Thursday, saying it expects more players to leave the crowded market.

Asteron managing director Sean Carroll says with 50 schemes, the KiwiSaver market needs more consolidation, and economies of scale do not exist for all suppliers.

Mr Carroll says the move will allow it to focus on growing its core business of life and income protection insurance.

The company's 6,200 customers have about 33 million of funds under management in KiwiSaver, and have until the end of May to choose a new provider.