Singapore Election Centers on Blocked Allianz Insurance Deal
The terminated acquisition attempt between German insurer Allianz SE and Singapore’s Income Insurance Ltd has become a focal point in the upcoming general election, highlighting regulatory sensitivities and governance concerns in the cooperative insurance sector.
In 2023, Allianz proposed purchasing a majority interest in Income Insurance – formerly NTUC Income – for approximately S$2.2 billion (US$1.7 billion). The insurer is owned by NTUC Enterprise, the business arm of the National Trades Union Congress (NTUC), a major cooperative entity. The deal attracted public scrutiny over its implications for policyholder interests and was ultimately withdrawn in December after regulatory pushback.
Singapore authorities blocked the transaction in October, citing public interest considerations. This move was accompanied by legislative amendments requiring additional regulatory review for deals involving cooperative-owned insurance entities. Officials have since stated that the decision should not be interpreted as a broader deterrent to foreign investment in Singapore’s insurance sector.
The issue has gained renewed political relevance as Ng Chee Meng, NTUC’s secretary-general and a member of the People’s Action Party (PAP), contests a seat in the 2025 election. Ng, who was previously a Cabinet minister and lost his seat in the last national vote, has come under scrutiny for his role in supporting the deal. Critics have called for greater accountability regarding the process and rationale behind the proposed transaction.
Opposition figures have pointed to a lack of parliamentary debate at the time. Workers’ Party leader Pritam Singh noted at a recent rally that “not a single PAP labor MP asked questions about this issue in Parliament in August 2024.” Former NTUC Income chief executive Tan Suee Chieh also weighed in, publishing a letter urging Ng to clarify his involvement.
In response, Ng stated during a campaign event that the deal had followed regulatory procedures and was advanced with proper intent. “We could not have known the law would be changed, but we sincerely respected the government’s view,” he said. He added that a review is being conducted to evaluate the lessons learned from the experience.
Senior Minister Lee Hsien Loong later defended Ng, suggesting that opposition lawmakers had not formally objected to the deal during earlier parliamentary sessions. The public’s focus on the proposed sale has added to a broader set of issues influencing the nine-day campaign ahead of the May 3 election. Economic themes, including the cost of living and consumption tax increases, also remain key topics among voters.
