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Wilton Re has completed the acquisition of Conseco Life Insurance Company (CLIC) from CNO Financial Group.
Wilton Re’s US operator, Wilton Reassurance Company, has acquired the entirety of the common stock of CLIC, the wholly owned subsidiary of CNO consisting of traditional and interest sensitive life insurance policies and deferred annuities in runoff, and has over $3.4 billion of statutory reserves.
Wilton Re says it will transfer all operations for the business to its administrative services platform after a transition period. As part of the agreement, Bankers Life and Casualty Company, one of CNO’s wholly owned life insurance subsidiaries, has recaptured $160 million of traditional life reserves previously reinsured to Wilton Re.
Chris Stroup, chairman and CEO of Wilton Re says, “We are pleased to serve CNO and the policyholders of CLIC with this important transaction. Wilton Re’s In Force Solutions are designed to provide companies with complete and safe exits of underperforming and non-core business, and our administration platform provides a high standard for continuing service to affected policyholders.”
Following the announcement, Fitch Ratings upgraded the Insurer Financial Strength Rating (IFS) of Conseco Life Insurance Company to ‘A+’ from ‘BB+’. Fitch stated that it views CLIC as being ‘core’ to its new owner based on the application of Fitch’s group rating methodology and as such, has equalized the ratings. Fitch rates Wilton Re’s IFS at ‘A+’.
Wilton Re, CLIC, Conseco, CNO, Chris Stroup