A large insurer wants to reinsure a majority of the in-force group business written by Shenandoah Life Insurance Company.
The Virginia State Corporation Commission took over as the receiver of Shenandoah Life, Roanoke, Va., in February.
Assurant Employee Benefits, Kansas City, Mo., a unit of Assurant Inc., New York, says it would not indemnify Shenandoah Life against any losses that are supposed to be handled by other reinsurers. Assurant Employee Benefits would indemnify Shenandoah Life against all other covered losses sustained by the group policies involved in the deal.
Shenandoah Life would continue to administer the group policies.
The arrangement is subject to approval by Virginia insurance regulators.