Resolution Life, a manager of in-force life insurance businesses, has completed its acquisition of Voya Financial’s individual life in-force business.
The deal sees Voya offload all of its in-force individual life business, including Security Life of Denver Insurance Company, Midwestern United Life Insurance Company and certain other affiliates, as well as the reinsurance of its remaining in-force individual life and annuity blocks.
Voya has also transferred roughly 350 employees, together with the assets and systems used to manage the business.
On completion more than $25 billion of assets were added to the Resolution Life balance sheet and it assumes responsibility for the administration of the acquired business.
Following a transition period of up to two years, Resolution Life will replace Voya’s corporate systems with its own systems.
Resolution Life has raised over US$3 billion of capital since 2018 and, in addition to the acquisition of Voya’s individual life in-force business, acquisitions to date include the A$3 billion acquisition of AMP Life in Australia and the completion of a reinsurance transaction with Symetra Life Insurance Company.
The transaction is intended to provide Resolution Life with a strong platform to capitalise on future growth opportunities in the US market, as well as a route to diversify the group risk profile against the Resolution Australasia and Resolution Re liabilities.
“We are delighted to welcome our new customers and colleagues to Resolution Life,” said Sir Clive Cowdery, Resolution Founder and Executive Chairman of Resolution Life.
“By acquiring or reinsuring businesses from partners such as Voya, Symetra and AMP, we provide a well-capitalised and stable environment to deliver on long-term customer promises.
“There is great opportunity for growth in the United States and completion of this transaction gives us an excellent platform to build from.”
“With the completion of this transaction, we have simplified Voya’s portfolio of businesses, reduced market and interest rate risk, and freed up capital,” said Rodney O. Martin, Jr, chairman and chief executive officer, Voya Financial, Inc.
“Looking ahead, we are now fully focused on leveraging Voya’s core strengths in serving the workplace and institutional clients to achieve further organic growth across our Retirement, Investment Management and Employee Benefits businesses.
“We are excited about the opportunities to continue to execute on our strategy and capitalize on our strong brand to deliver further value for all of our stakeholders.”