Reinsurance Group of America (RGA) announced that it has executed definitive agreements with subsidiaries of XL Group plc (XL) to acquire a block of US term life reinsurance.
Under the agreement, a subsidiary of RGA will reinsure approximately $22 billion of life insurance in force, comprising approximately 290,000 policies. RGA will also administer the business on XL’s behalf following a short transition period.
"This transaction supports RGA’s strategy of deploying capital by acquiring run-off life insurance blocks," said Anna Manning, President, RGA. "Our deep expertise and understanding of the life reinsurance market has provided us with the tools to secure an innovative solution for XL. We are pleased to announce the completion of the transaction."
The transaction is effective immediately. Other details of the transaction are not being disclosed.
Reinsurance Group of America, Incorporated is one of the largest global life and health reinsurance companies in the world.
The company provides clients with individual life reinsurance, individual living benefits reinsurance, group reinsurance, health reinsurance, financial solutions, facultative underwriting, and product development.
RGA and its subsidiaries serve clients from operations in Australia, Barbados, Bermuda, Canada, China, France, Germany, Hong Kong, India, Ireland, Italy, Japan, Malaysia, Mexico, the Netherlands, New Zealand, Poland, Singapore, South Africa, South Korea, Spain, Taiwan, Turkey, the United Arab Emirates, the United Kingdom, and the United States.