Pacific Life Re Expands Reach with Longevity Swap Agreement
Pacific Life Re, a prominent player in the life and health reinsurance sector, has successfully executed a significant longevity swap reinsurance agreement with Nationale-Nederlanden (NN Life) in the Netherlands. This strategic partnership not only strengthens Pacific Life Re’s international footprint but also enhances its capabilities in the evolving market of pension risk management.
The agreement encompasses a substantial portfolio of in-force individual annuity policies valued at €2 billion and introduces a long-term commitment to reinsure future new business through a structured flow arrangement. This landmark deal builds upon Pacific Life Re’s extensive expertise in pension risk transfer and flow transactions across diverse markets.
This transaction signifies Pacific Life Re’s inaugural foray into the longevity reinsurance market in the Netherlands, a crucial area for the company’s growth aspirations. Pill Beach, the executive vice president of Savings & Retirement at Pacific Life Re, expressed enthusiasm over the collaboration, stating, “We’re delighted to announce the start of a new partnership with NN Life. Our extensive experience in longevity swaps and flow transactions has enabled us to tailor a bespoke solution that aligns with NN Life’s commitment to its customers.”
Additionally, Peter Brewee, chief risk officer at NN Life, highlighted the significance of this deal, noting, “This agreement underscores our ongoing dedication to identifying value-creating opportunities, mitigating longevity risk within the Dutch market, and proactively managing our balance sheet.”
This agreement not only marks a pivotal moment for both companies but also reflects a broader trend in the reinsurance industry aimed at addressing the increasing challenges associated with longevity risk.
Source: Reinsurance News
