Protecting Life Insurance coverage Co. and Protecting Life & Annuity Insurance coverage Co., will purchase by way of reinsurance considerably all of Nice-West Life & Annuity Insurance coverage Firm’s particular person life insurance coverage and annuity enterprise.
The businesses are below the umbrella of Protecting Life Corp., a completely owned U.S. subsidiary of Dai-ichi Life Holdings.
The enterprise to be transferred, which has been marketed below the Nice-West Monetary model, contains bank-owned and corporate-owned life insurance coverage, single premium life insurance coverage, particular person annuities, and a portion of Nice-West’s closed block life insurance coverage and annuities.
GWL&A will retain a block of collaborating insurance policies, which will likely be administered by Protecting.
The transaction represents an estimated capital funding by Protecting of roughly $1.2 billion, topic to adjustment, and would be the largest acquisition in firm historical past. It's going to additionally mark Protecting’s entrance into the chief advantages market.
“This enterprise aligns properly with our long-term plans for progress and scale. The life and annuity enterprise has been a cornerstone of Protecting all through our historical past and can proceed to be an space of future progress for the corporate,” stated Richard J. Bielen, President and Chief Govt Officer, Protecting. “Collectively, Nice-West and Protecting convey power and stability to this transaction with a shared concentrate on serving individuals and doing the precise factor – for our workers, our distributors, and most significantly, our clients. We're excited concerning the alternative to succeed in new markets and supply valued safety to much more clients.”
“The mixed power of the companies constructed by Nice-West and Protecting creates new alternatives for our clients who will now be very properly served by Protecting,” stated Robert L. Reynolds, Chief Govt Officer, GWL&A. “Our workforce is dedicated to making sure a seamless transition to Protecting for our clients who will proceed to learn from the product options we’ve developed to fulfill their wants.”
When closed, this acquisition will likely be Protecting’s 57th acquisition and its 50th life and annuity acquisition. It is going to be the fourth transaction accomplished since Protecting grew to become a part of Dai-ichi in 2015.
Dai-ichi considers Protecting to be its North American progress platform and continues to intention for additional growth within the area, by each acquisitions and natural progress in Protecting’s retail gross sales.
The closing is anticipated to happen within the first half of 2019, topic to the receipt of regulatory approvals and satisfaction of customary closing circumstances. The estimated invested capital and the ceding fee are topic to adjustment per the contract.
The transaction contains enterprise written by GWL&A, Nice-West Life & Annuity Insurance coverage Firm of New York and the U.S. branches of GWL&A’s associates, The Canada Life Assurance Firm and The Nice-West Life Assurance Firm. GWL&A’s retirement and funding administration divisions, Empower Retirement and Nice-West Investments respectively, usually are not affected by this transaction.
Morgan Stanley & Co. LLC is appearing as monetary advisor to Protecting in reference to the transaction. Willkie Farr & Gallagher LLP is appearing as Protecting’s authorized counsel.
About Protecting Life Company
Protecting Life Company offers monetary companies by the manufacturing, distribution and administration of insurance coverage and funding merchandise all through the U.S. The corporate traces its roots to the company’s flagship firm, Protecting Life Insurance coverage Firm – based in 1907. All through its greater than 110-year historical past, Protecting’s progress and success may be largely attributed to its ongoing dedication to serving individuals and doing the precise factor – for its workers, distributors, and most significantly, its clients. The corporate’s house workplace is positioned in Birmingham, Alabama, and its practically three,000 workers are positioned in workplaces throughout the US. As of September 30, 2018, the Firm had belongings of roughly $91.eight billion. Protecting Life Company is a completely owned subsidiary of Dai-ichi Life Holdings, Inc. (TSE:8750). For extra details about Protecting, please go to www.Protecting.com.
About Nice-West Life & Annuity Insurance coverage Firm
Established 125 years in the past, Nice-West Life & Annuity Insurance coverage Firm administers a complete of $602 billion in belongings for about 9.1 million retirement, insurance coverage and annuity clients, as of Sept. 30, 20182. The corporate’s choices vary from investments, life insurance coverage, annuities and government advantages merchandise marketed below the Nice-West Monetary model to retirement financial savings services and products offered by Empower Retirement, the nation’s second-largest retirement plan document keeper by participants1. To study extra, go to greatwest.com.