Aegon closes US run-off business sale to Wilton Re
Netherland-based insurer Aegon has completed its divestment transaction with Wilton Re, a company focused on the North American life insurance market.
In May, Aegon announced its agreement with Wilton Re to sell its two largest US run-off businesses, the pay-out annuity business and the Bank Owned / Corporate Owned Life Insurance business (BOLI/COLI).
The company stated that the transaction was part of its strategic objective to reduce the amount of capital allocated to its run-off businesses.
Under the terms of the agreement, Aegon's Transamerica life subsidiaries will reinsure $14 billion of liabilities to affiliates of Wilton Re US Holding. The transaction and related management actions are expected to result in a capital release of approximately $700 million (€630 million) in 2017.
According to the statement, the capital released is expected to be upstreamed during the second half of 2017 to the holding, which is expected to improve Transamerica's return on capital by approximately 60 basis points, and is estimated to improve Aegon's Group Solvency II ratio by approximately 6 percentage points.
Use code "Save20" and to save 20% on selected tickets for for Intelligent InsurTECH Europe 2017 - Offer ends July 15th
Today’s stories
PartnerRe chief risk officer and P&C CEO depart
EXIN Group strikes €718m deal to acquire Ethniki Hellenic General Insurance
Guy Carpenter launches new Asia Pacific retro unit, appoints leaders
Majority of global insurers see insurtech impacting revenues
Willis Towers Watson poaches QBE exec to head FINEX Australasia
QBE Australia and New Zealand appoints first chief customer officer
World Bank launches first pandemic bond with insurance sector support
AIG elects CEO Duperreault and other directors to board
US motor insurance net losses to grow in 2017: Report
Did you enjoy reading this story? Sign up to our free daily newsletters and get stories like this sent straight to your inbox.
Already registered?
Login to your account
If you don't have a login or your access has expired, you will need to purchase a subscription to gain access to this article, including all our online content.
For more information on individual annual subscriptions for full paid access and corporate subscription options please contact us.
To request a FREE 2-week trial subscription, please signup.
NOTE - this can take up to 48hrs to be approved.
For multi-user price options, or to check if your company has an existing subscription that we can add you to for FREE, please email Elliot Field at efield@newtonmedia.co.uk or Adrian Tapping at atapping@newtonmedia.co.uk
Editor's picks
Editor's picks
More articles
Copyright © intelligentinsurer.com 2024 | Headless Content Management with Blaze