Prosperity Life to acquire business lines from National Guardian Life
Prosperity Life Assurance, a newly formed Bermuda based long-term reinsurer, will acquire certain closed-block businesses, including life, annuity and accident and health lines, from National Guardian Life Insurance Company (NGL).
The subject businesses have combined net statutory reserves of approximately $400 million. The transaction is expected to close in coming months, subject to regulatory approval and the satisfaction of other closing conditions.
The Financial terms of the transaction were not disclosed.
Nicholas von Moltke, chief executive of Prosperity Life, said: “This reinsurance transaction with NGL launches Prosperity Life Assurance as an emerging provider of customised and innovative reinsurance solutions to the life insurance and annuity industry.”
Meanwhile Knut Olson, NGL's president and chief executive, said it would use proceeds from the sale to implement its strategic capital optimisation programme. This includes investing in its core preneed business and enhancing its services and products.