Reinsurance Group of America, Incorporated (RGA) has reached an agreement with Tongyang Life Insurance Company for an RGA subsidiary to reinsure a 200 billion Korean Won (KRW) (USD 144m) in-force block of life policies through coinsurance, marking the first cross-jurisdictional coinsurance transaction in South Korea.
According to RGA, it has pioneered reinsurance as a financial management and portfolio-optimising tool and remains a leading provider of such solutions worldwide.
RGA explained that it completed its first asset-intensive transaction in Asia in 1996, and has since successfully executed numerous coinsurance transactions across the region, “creating sustainable long-term value” for clients and consumers.
Gaston Nossiter, Senior Vice President, Head of Asia Pacific, Global Financial Solutions, RGA, commented, “We are excited to be a strategic partner with Tongyang Life in achieving this significant milestone in the Asia-Pacific market.
“In transactions such as this, RGA brings a deep understanding of our client’s financial and customer needs, leveraging our extensive knowledge of local markets and global best practices, to support insurers’ long-term objectives in the current economic and regulatory environment.”
Moon-Koo Lee, CEO, Tongyang Life, said, “We are pleased to collaborate with RGA based on its strong track record in asset-intensive solutions in the region and strong understanding of the local market.
“This proactive coinsurance agreement helps Tongyang Life facilitate stable capital management and financial soundness amid an uncertain financial environment.”
