Pan-American Life Insurance Group (PALIG), a provider of life and health insurance in Latin America and the US, has entered into definitive agreement to acquire select businesses and assets from US based insurance firm MetLife, to extend its geographic footprint.

PALIG plans to acquire MetLife’s American Life and General Insurance Company (ALGICO) unit in Trinidad & Tobago, along with American Life Insurance Company (ALICO) branches in Barbados, Cayman Islands and the majority of the Leeward and Windward Islands, and the ALICO operations in Panama and Costa Rica.

Through this transaction, PALIG adds to its strong existing businesses in Panama and Costa Rica and expands its presence in the Caribbean. In total, the businesses being acquired by PALIG represent more than $125m in 2010 premiums and $675m in assets.

In addition, in connection with the transaction with MetLife, the parties anticipate that PALIG will become the MAXIS Global Benefits partner in these markets, and also in Central America and Ecuador.

Pan-American Life Insurance Group president and CEO Jose Suquet said this transaction expands Pan-American Life’s product offerings within the Life and Health segments by adding Personal Accident and Health lines, making Pan-American Life the number one, two or three life and health carrier in nearly all markets in which the company compete outside of the US.

Morgan Stanley served as principal financial advisor to Pan-American Life Insurance Group. Debevoise & Plimpton served as principal legal advisor to Pan-American Life Insurance Group. Dewey & LeBoeuf served as principal legal advisor to MetLife.

Terms of the transaction were not disclosed.