Metlife completes longevity reinsurance transaction with pension insurance corporation
Metropolitan Tower Life Insurance Company, a subsidiary of MetLife, Inc. (“MetLife”), announced its first United Kingdom longevity reinsurance transaction with Pension Insurance Corporation plc (“PIC”).
“This transaction marks an important milestone in MetLife’s strategy and gives us the opportunity to apply our experience managing risk to a new market,” said Graham Cox, executive vice president and head of Retirement & Income Solutions at MetLife. “With this transaction, MetLife is establishing itself as a reinsurance solution for direct insurers in the U.K. While this is MetLife’s initial step into the U.K. longevity reinsurance market, our long history and mortality expertise position us well for the future.”
Under the terms of agreement, Metropolitan Tower Life Insurance Company will provide reinsurance to PIC for longevity risk associated with approximately £280 million of pension liabilities.
“In 2019, there were more than £40 billion of U.K. pension risk transfer transactions completed — this robust market presents an opportunity for reinsurers to support direct insurers by managing their longevity risk,” said Cox. “We are pleased to be working with PIC and look forward to building on this relationship.”
“It’s great to see another well-rated, global corporation complete a debut transaction within the U.K. bulk annuity market,” said Khurram Khan, Head of Longevity Risk at PIC. “This is a positive development for both PIC and for market capacity as a whole.”
Monument Re completes acquisition of Nordben Life and Pension Insurance
Bermudian reinsurance firm Monument Re has wrapped up the previously announced takeover of Nordben Life and Pension Insurance from BenCo Insurance.
The transaction, which was announced in December last year, completed after securing regulatory approval from the Guernsey Financial Services Commission (GFSC).
Monument Re Group CEO Manfred Maske said: “The completion of this transaction positions the Monument Group well in executing its strategy in the Crown Dependencies.”
During the announcement of the deal, Maske stated: “We are pleased to announce the acquisition of Nordben which establishes our presence in Guernsey.
“We look forward to welcoming the Nordben team to the Monument Group as we look to continue growing the business regionally. Equally important is to maintain the high level of service to Nordben customers going forward.”
Nordben, based in Guernsey, is licensed to operate long-term and general insurance business, which has been closed to all new business since early 2016.
Last month, Monument Assurance Belgium concluded the acquisition of a run-off portfolio of traditional life and credit life business from Alpha Insurance.
In March, Monument Re completed the acquisition of Robein Leven and its subsidiaries from Amerborgh Financial Services.
Monument Re is as an asset intensive reinsurer and acquirer mainly in Europe. Its group of companies has established presence in Bermuda, Ireland, Belgium, Luxembourg, the Netherlands and now Guernsey.