(Reuters) — Allianz on Monday extended CEO Oliver Baete’s contract until 2028, as the German insurer lost its finance chief Giulio Terzariol to Italian rival Generali.
The decision by Allianz’s supervisory board to renew Mr. Baete’s contract ends uncertainty over his future as the German group recovers from a U.S. fund scandal.
At Generali, the arrival of a prominent Allianz executive in a top role is seen as a coup for Italy’s biggest insurer, which also faces uncertainty due to shareholder conflicts at its single biggest investor, Mediobanca.
Generali said Mr. Terzariol would start in January as head of a newly created insurance division reporting to CEO Philippe Donnet.
He will be replaced as CFO at Allianz by French national Claire-Marie Coste-Lepoutre, who has been with the German insurer since 2011.
Allianz was hit by a $6 billion settlement with the U.S. Department of Justice and U.S. Securities and Exchange Commission over the 2020 collapse of a group of investment funds. That led to some speculation about Mr. Baete’s future at the group although some investors praised his quick resolution of the funds scandal, and he led the group to record revenue and operating profit in 2022.
With Mr. Terzariol’s arrival, Generali secures a top name in the sector at a time when the insurer’s biggest shareholder, Mediobanca, which was a key supporter of Mr. Donnet last year when he won a new three-year term, faces pressure.
Two leading investors who last year sought to derail Mr. Donnet’s reappointment after criticizing his growth strategy as insufficiently ambitious, are now pushing for a board shake-up at Mediobanca.