Lincoln Benefit Life (LBL), a subsidiary of life insurance and annuity firm Kuvare, has signed a deal that will see it assume roughly $1.5 billion of fixed annuity reserves.
This is the first such reinsurance transaction for LBL since it was acquired by Kuvare last year.
The reinsurance deal is in partnership with an A+ rated Illinois carrier and represents legacy fixed annuity business.
Kuvare is described as having a track record of closing offshore reinsurance transactions through its Bermuda subsidiary, Kuvare Life Re (KLR).
This latest deal follows a $600 million reinsurance treaty for fixed annuity business between KLR and a leading international and highly rated insurance company.
These year-end key reinsurance acquisitions have reportadly boosted Kuvare’s life and annuity business to approximately $17 billion in invested assets and $27 billion in consolidated assets.
“This is Kuvare’s latest example of incorporating diverse strategies to offer innovative options to cedants and policyholders,” said LBL’s President and Kuvare’s COO, Carlos Sierra.
“We utilized LBL, an A- rated onshore platform, as the reinsurance provider to a high-quality carrier that was looking to exit certain legacy annuity business.
“LBL, with the rest of Kuvare, stands ready to help other cedants in need of onshore solutions.”
KLR president and CFO Kevin Hovi added, “Having closed five reinsurance transactions since 2016, our U.S. and Bermuda platforms have collectively taken on over $4 billion of third-party reinsurance reserves.
“We are very pleased with the quality of the transactions and counterparties we’ve worked with and look forward to continuing to grow our reinsurance business by providing high quality solutions to cedants looking for support on their liabilities.”
