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A Blackstone Life Insurer Signs 10-Year Deal With NTT Data

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What You Need to Know

  • Everlake Life was Allstate Life Insurance Co.
  • Blackstone entities closed on the $4 billion acquisition of Allstate Life in November.
  • The Everlake CEO is Doney Largey, who was previously head of transformation at Blackstone.

A big life and annuity issuer that’s now controlled by Blackstone, an investment manager, has started to show how it will operate.

Everlake Life announced Monday that it has hired NTT Data Services to administer its annuities and life policies for 10 years.

Everlake Life is the Northbrook, Illinois-based company that Blackstone created to hold Allstate Life Insurance Co. and Allstate Assurance Co.

Blackstone affiliates acquired Allstate Life and Allstate Assurance from Allstate Corp. for $4 billion in November, with the total including a $2.8 billion in purchase price amount and a $1.2 billion increase in the subsidiaries’ statutory surplus.

Everlake has about 1.7 million in life insurance policies and annuity contracts in force and $24 billion in assets under management.

Blackstone has named Doney Largey, who was Blackstone’s head of transformation, to serve as Everlake’s CEO.

The NTT Data Connection

NTT Data — a Tokyo-based information technology services provider — said it expects Everlake to move over to NTT service in a seamless and secure manner in the coming years while maintaining high-quality service for Everlake customers.

NTT Data introduced a global insurance digital platform program for the life and annuity industry last September. The company then announced in October that F&G had become the first life and annuity issuer to begin using the new NTT Data digital platform, for a new index-linked annuity contract.

A Blackstone investor group controlled F&G from 2017 through 2020. The investor group sold F&G to Fidelity National Corp. in December 2020.

AIG Life & Retirement

Blackstone has acquired a 9.9% stake in the parent of company of American International Group’s Life & Retirement business in November, and it has made a deal to manage a large chunk of AIG Life & Retirement Assets.

The NTT Data deal announcement does not mention AIG Life & Retirement.

The Future

One question is whether Everlake could end up following in the footsteps of F&G and writing new life and annuity products.

The company has no top-level sales or marketing executive listed in the “about us” section on its website.

Blackstone mentioned Everlake’s and AIG Life & Retirement’s assets Thursday when it released earnings for the fourth quarter of 2021, but it did not talk about whether or not Everlake might write new business.

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(Photo: Mark Abramson/Bloomberg)