A Bermuda-based reinsurer affiliated with a U.S. private equity firm is helping a life insurer in Japan shed annuity risk.
Talcott Life Re, part of a life insurance group connected with Sixth Street, announced Friday that it will reinsure a $3.6 billion block of in-force payout annuities for Japan Post Insurance.
Japan Post will continue to service and administer the annuity contracts, the companies said.
Hartford Financial created Talcott in 2013 in an effort to respond to the effects of the 2007-2009 financial crisis on its life and annuity operations.
A group led by Cornell Capital acquired control of Talcott in 2018, and a group led by Sixth Street, which is based in San Francisco, acquired control of it in 2021
Since then, Talcott has made reinsurance deals involving annuities written by Allianz Life, Principal and Guardian.
Japan Post is a big, Tokyo-based life insurer that was once part of the Japanese postal system. The Japanese government is still the insurer's biggest shareholder.
The insurer has the equivalent of about $1.4 trillion in assets. A trust controlled by Japan Post owns 9.6% of Aflac's common stock.
Credit: manassanant/Adobe Stock
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