Author: Greg Winterton

Industry leaders in the longevity and mortality markets came together at the Life ILS Conference 2024 in London on 21st May to discuss the current state of capital markets participation in life risk.Held at the offices of EY in London’s Canary Wharf district and keynoted by the Rt. Hon. Lord David Willets of The Resolution Foundation, over 200 suppliers and buyers of risk, both in-person and virtually, heard from expert speakers across a range of life-related disciplines that are impacting their industry.The overwhelming consensus was that the longevity and mortality markets are in good health.“The presentations and panel discussions at this…

Metallus Inc has entered into an agreement to purchase a group annuity contract from The Prudential Insurance Company of America in connection with the termination of the TimkenSteel Corporation Retirement Plan (Salaried Pension Plan). The transaction settles approximately $121m of the company’s remaining US pension obligations. Prudential will pay future benefits under the group annuity contract starting August 1, 2024, for the remaining approximately 1,000 participants in scheme. “Prudential was carefully selected as a highly rated and experienced retirement benefits provider,” said Kris Westbrooks, Metallus’ Executive Vice President and Chief Financial Officer. “Following the Bargaining Pension Plan partial annuitisation in 2022, the…

PHL Variable Insurance Company (PHL) and its subsidiaries, Concord Re, Inc. and Palisado Re, Inc. have been placed into rehabilitation proceedings in Connecticut.  Insurance Commissioner Andrew N. Mais filed a Petition for Rehabilitation and Appointment of the Commissioner as Rehabilitator on Friday, May 17, which was granted yesterday.  The Connecticut Insurance Department (CID) filed the petition after “determining that the companies are in a hazardous financial condition and that other alternatives have been thoroughly explored.” “Today’s filing underscores the department’s commitment to protecting consumers and ensuring the availability of a financially sound insurance industry in Connecticut,” said Commissioner Mais.  “This action is a critical…

Total US individual life insurance new annualised premium slipped 1% year over year to $3.76bn in the first quarter, according to industry group LIMRA’s preliminary U.S. Life Insurance Sales Survey. The total number of policies sold also dropped 1% in the first quarter. “Overall, a large proportion of carriers reported gains in both premium (7 in 10) and policy sales (6 in 10) in the first quarter. Every product line except whole life posted positive growth,” said John Carroll, senior vice president, head of Life & Annuities, LIMRA and LOMA. “The industry must innovate to reach underserved markets and grow…

Asset manager Twelve Capital has bought back the 30% stake in the firm previously owned by Graubündner Kantonalbank (GKB). “We are very pleased to execute this transaction. The Twelve Capital team is excited by the prospects of the firm and fully committed to continue to deliver value to our clients,” said Urs Ramseier, Twelve Capital Executive Chairman. GKB originally bought the stake back in January 2022. 

European pharmaceutical company Norgine has insured the benefits of its defined benefit pension scheme with Canada Life in a full buy-in transaction of £28m. The transaction, which follows a competitive tender process run by Mercer, secures the benefits of 308 members, of which 152 are deferred members. “We are delighted the scheme chose us as their de risking partner, securing the benefits from both in payment and deferred members. We continue to focus on developing our capability to meet the growing market demand and enabling schemes and sponsors to secure the long-term future of their members with a financially strong…

April delivered double-digit growth in US life insurance applications versus the same month last year, according to the latest MIB Life Index. Year-on-year activity was up +10.3%, the first time since April 2021 that double-digit year-on-year growth has been achieved. The growth was largely delivered by Term Life and Whole Life policies, which advanced +8.4% and +29.4%, respectively. Applications for Universal Life insurance, the most common type of policy seen in the life settlement market, declined -4.2% last month. At the cohort level, Universal Life saw growth for ages 31-50, but declines for ages 51+ and 61+.

US-based industry group the Life Insurance Settlement Association (LISA) published its 2023 Market Data Collection Survey report in early May. The report, now in its third year, collects secondary market transaction data from the organisation’s life settlement provider members, which it says represents more than 95% of transactions in the secondary market overall.  The headline this year is that the life settlement market paid out more than $843m in the calendar year 2023 to US consumers who sold their life insurance policy, up from $790m last year, and $750m in 2022.  “The data collected by LISA in our Members Annual…

The life settlement market has seen a few litigation cases in the state of Delaware in recent years whereby the estate of a deceased has brought a claim against a life settlement asset manager to recover the death benefit of the life insurance policy.   In these cases, plaintiffs argued that because these policies specifically were purchased using a premium finance arrangement (under which the insured borrows money to pay the premiums) they violated Delaware law on insurable interest when they were issued.  Recent Delaware decisions suggest that in these situations, the death benefit should go to the estate, so the…

Life expectancy is one of the largest influences on the performance of a life settlement investment, and the space continues to evolve with advances in new technology and society’s understanding of mortality. Life Risk News’ Greg Winterton spoke to Chris Conway, Chief Development Officer, ISC Services, Vince Granieri, CEO, Predictive Resources, John Lynch, Director of Actuarial and Underwriting Services, Longevity Holdings, Sean Malone, President and CEO, Longevity Services and S. Jay Olshansky, Chief Scientist and Co-Founder, Lapetus Solutions to get their views on the current state of their sector, its challenges and opportunities. GW: Let’s start this year’s roundtable from…