Allianz said that growth at the unit had not panned out as it had hoped and that by the time the restructuring is finished, the retail bank will have amassed losses of 400 million euros ($531 million) since 2009.

However, the insurer also said it would continue the operations of a second banking unit, the Oldenburgische Landesbank AG, and expected to break even in its German banking business in 2014