The European Commission approved China Reinsurance (Group) Corp.'s proposed acquisition of Lloyd's of London business Chaucer PLC.

China Re will acquire Chaucer from Hanover Insurance Group Inc. for $950 million. The EC noted that there are horizontal overlaps between the companies' activities, but that no competition concerns arise because the combined market positions will be limited.

Chaucer comprises the businesses of U.K.-based Hanover Insurance International Holdings Ltd., Ireland-based Chaucer Insurance Co. Designated Activity Co. and Australia-based Hanover Australia HoldCo Pty Ltd.