NU Online News Service, Aug. 12, 2003, 10:43 a.m. EDT – Pan-American Life Insurance Company, New Orleans, has agreed to sell its retirement plan business to Securian Retirement Services, a unit of Minnesota Life Insurance Company, St. Paul, Minn.
The price of the deal and other financial terms were not immediately available.
Pan-American has announced several major efforts to reach small and midsize employers in the past year, but Pan-American executives now say they have decided the company is too small to compete on its own in the retirement plan market.
Pan-American manages about $800 million in plan assets for 1,100 plans and 50,000 participants.
Securian manages $5.7 billion in retirement plan assets for 2,500 plans and 180,000 plan participants.
Securian hopes to complete the Pan-American deal in November. Securian says it may add up to 40 sales, service and operations jobs in St. Paul to handle the Pan-American business.