Kuvare Closes $2 Billion of Reinsurance in Q4 2020
December 23, 2020 by Kuvare US Holdings, Inc.
CHICAGO–(BUSINESS WIRE)–Kuvare US Holdings, Inc. (together with its affiliates, “Kuvare”) is pleased to announce that its subsidiary, Lincoln Benefit Life Company (“LBL”), has recently executed a transaction to assume approximately $1.5 billion of fixed annuity reserves. This is the first such reinsurance transaction for LBL since it was acquired by Kuvare last year and builds upon Kuvare’s demonstrated track record of having previously closed offshore reinsurance transactions through a Bermuda subsidiary, Kuvare Life Re Ltd. (“KLR”). The LBL reinsurance deal is in partnership with an upstanding A+ rated Illinois carrier and represents legacy fixed annuity business.
The LBL transaction closely follows the execution of a $600 million reinsurance treaty for fixed annuity business between KLR and a leading international and highly rated insurance company. These year-end key reinsurance acquisitions have boosted Kuvare’s life and annuity business to approximately $17 billion in invested assets and $27 billion in consolidated assets.
LBL’s President and Kuvare’s COO, Carlos Sierra, commented: “This is Kuvare’s latest example of incorporating diverse strategies to offer innovative options to cedants and policyholders. We utilized LBL, an A- rated onshore platform, as the reinsurance provider to a high-quality carrier that was looking to exit certain legacy annuity business. LBL, with the rest of Kuvare, stands ready to help other cedants in need of onshore solutions.”
“Having closed five reinsurance transactions since 2016, our U.S. and Bermuda platforms have collectively taken on over $4 billion of third-party reinsurance reserves,” said KLR President and CFO Kevin Hovi. “We are very pleased with the quality of the transactions and counterparties we’ve worked with and look forward to continuing to grow our reinsurance business by providing high quality solutions to cedants looking for support on their liabilities.”
The financial strength ratings quoted here are those of the AM Best rating company.
Kuvare is a leading insurance and reinsurance platform within the U.S. life and annuity marketplace. Headquartered in Chicago, Kuvare focuses on delivering value-oriented life and annuity solutions to the middle market. Founded in 2015, Kuvare is committed to a sustainable growth strategy, backed by a consortium of long-term capital firms. The family of Kuvare companies includes Lincoln Benefit Life Company, Guaranty Income Life Insurance Company, United Life Insurance Company, Kuvare Life Re Ltd., Kuvare Bermuda Re Ltd. and Kuvare Insurance Services LP.
About Lincoln Benefit Life Company
LBL has remained a strong leader in providing life insurance and annuity solutions since 1938. Based in Lincoln, Nebraska, and with administrative offices in Rosemont, Illinois, LBL services approximately 200,000 policyholders in 49 states and is rated A- (Excellent) by A.M. Best.