Lincoln Financial is hoping a new deal with Liberty Mutual Insurance Group will help it attract large voluntary benefits and worksite marketing customers.
Lincoln Financial has agreed to acquire Liberty Life Assurance Company from Liberty Mutual and keep Liberty Life’s group benefits business.
Another company, Protective Life Corp., would acquire Liberty Life’s individual life and annuity business through a reinsurance arrangement.
The companies involved announced the deal today.
They say Lincoln Financial plans to pay $1.02 billion to Liberty Mutual, and to add $425 million in capital to the Liberty Life life unit.
Protective Life has agreed to pay $1.17 billion for Liberty Life’s individual business.
The companies hope to get the approvals they need to complete the deal by June 30.
Liberty Mutual, which is best known as a property-casualty insurer, said it’s making the deal to focus on its core property-casualty business.
Lincoln Financial’s benefits arm has been focusing on reaching employers with fewer than 1,000 employees.