Resolution Life in deal with Farmers Group

Resolution Life US Holdings, a subsidiary of Resolution Life Group Holdings, a global manager of in-force life insurance businesses with operations in Bermuda, has completed an agreement with Farmers Group’s life insurance subsidiary, Farmers New World Life Insurance Company.

Under the agreement, Farmers will cede its in-force individual life insurance business to Resolution Life’s insurance subsidiary, Security Life of Denver Insurance Company. Resolution Life will administer the reinsured policies, with certain operations supporting administration moving to Resolution Life.

Security Life will continue to reinsure future individual life business under a flow reinsurance treaty, effective on the closing of the transaction. Resolution Life has partnered with Swiss Re to retrocede all of the reinsured term life insurance liabilities.

The company said the transaction will extend Resolution Life’s position as a leading global manager of in-force life insurance businesses, with over four million policies in force.

Conor Murphy, CEO, Resolution Life US, said: “This transaction builds on Resolution Life’s strong US presence and further advances the global scale of our in-force life and annuity management. Furthermore, it re-affirms our operational and administrative capabilities and track record of migrating life portfolios while maintaining a high level of customer service for policyholders. We will continue to seek growth with the primary insurance industry, continuing to develop our leading specialist in-force management franchise in the US, and globally.”

Warren Balakrishnan, chief strategy and development officer, Resolution Life US, said: “Resolution Life has designed a bespoke solution to meet the objectives of all stakeholders: delivering value, with a compelling life insurance proposition for Farmers New World Life’s customer base and distribution. We look forward to working closely with Farmers New World Life.”