Credit: Olivier Le Moal/Adobe Stock
Jackson Financial announced a deal today that could help it write more annuities this year.
Corebridge Financial closed on an annuity fuel deal of its own, and Talcott Financial and MassMutual unveiled new products.
What it means: Life insurers appear to believe that the annuity market is still a good place to place their chips.
Clients could continue to find many issuers around who are eager to sell them annuities.
Jackson and TPG: Jackson is forming an alliance with TPG, a San Francisco-based asset manager.
The deal calls for TPG to supplement Jackson's own PPM America asset manager by helping Jackson invest in asset-based finance arrangements and direct lending for at least 10 years.
The new TPG investments will provide assets that can "support annuity product sales in various market environments," Jackson said.
Jackson will also get $500 million in cash from TPG that it can use to write annuities and $150 million in TPG common stock.
Jackson will use the cash to fund a new, Michigan-based captive reinsurer, Hickory Brooke Reinsurance Co.
"Hickory Re has has been established to serve as a capital-efficient way to accelerate further sales growth of Jackson's fixed and fixed index annuity products," Jackson said.
Corebridge and Venerable: Corebridge, meanwhile completed the process of offloading some the volatility associated with variable annuities written in the past.
The company closed on a previously announced deal to have Venerable reinsure all of the individual variable annuities written by its U.S. Life Insurance Co. of New York subsidiary.
Corebridge previously closed on a deal to have Venerable reinsure the individual variable annuities written by its American General Life subsidiary.
The two deals involved about $51 billion in assets.
Corebridge now plans to focus mainly on writing fixed, indexed and registered index-linked annuities and have Venerable co-insure any new variable annuities it sells.
Products: Talcott demonstrated its enthusiasm for the annuity market by adding three new fixed annuity products.
One is a multi-year guaranteed annuity, one is a fixed indexed annuity aimed at clients who want to build value, and the third is a fixed indexed annuity aimed at clients who want to generate guaranteed income.
MassMutual's Ascend Life added an optional income rider aimed at holders of fixed indexed annuities who want to protect their current contract value and arrange for guaranteed growth of future annuity income.
Credit: Olivier Le Moal/Adobe Stock
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