RGA Announces Acquisition of Group Reinsurance Business from ReliaStar Life Insurance Co.ST. LOUIS -- Reinsurance The contract made between an insurance company and a third party to protect the insurance company from losses. The contract provides for the third party to pay for the loss sustained by the insurance company when the company makes a payment on the original contract. Group of America, Incorporated (NYSE NYSE See: New York Stock Exchange : RGA RGA Reinsurance Group of America RGA Return Goods Authorization RGA Republican Governors Association RGA Residual Gas Analyzer RGA Royal Garrison Artillery RGA Restricted Growth Association (UK) RGA Rate Gyro Assembly ) today announced an agreement with ReliaStar Life Insurance Company, a subsidiary of ING Groep N.V., whereby RGA has acquired ReliaStar's U.S. and Canadian group life, accident and health reinsurance business. The acquisition will be structured as an indemnity coinsurance A provision of an insurance policy that provides that the insurance company and the insured will apportion between them any loss covered by the policy according to a fixed percentage of the value for which the property, or the person, is insured. agreement and is expected to be effective January 1, 2010, subject to regulatory approvals. RGA will fund the acquisition with existing capital. Specific terms of the agreement were not disclosed. A. Greig Woodring, president and chief executive officer of RGA, commented, "We are pleased with this acquisition as it gives us a far more substantial presence in the North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. group reinsurance market and offers a highly regarded team in Minneapolis that will remain in place. We look forward to working with ReliaStar's clients and its distribution partners during the upcoming renewal season. We expect to deploy approximately $115 million of capital to support the business with returns in the mid-to-upper teens." About RGA RGA, through its various operating subsidiaries, is among the largest global providers of life reinsurance. RGA has subsidiary companies or offices in Australia, Barbados, Bermuda, Canada, China, France, Germany, Hong Kong Hong Kong (hŏng kŏng), Mandarin Xianggang, special administrative region of China, formerly a British crown colony (2005 est. pop. 6,899,000), land area 422 sq mi (1,092 sq km), adjacent to Guangdong prov. , India, Ireland, Italy, Japan, Mexico, Poland, the Netherlands, South Africa, South Korea, Spain, Taiwan, the United Kingdom, and the United States. Worldwide, RGA has approximately $2.2 trillion of life reinsurance in force, and assets of $22.6 billion. More information about RGA is available at www.rgare.com. CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995, including, among others, statements relating to projections of the earnings, revenues, income or loss, future financial performance and growth potential of Reinsurance Group of America, Incorporated and its subsidiaries. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results, performance and achievements could differ materially from those set forth in, contemplated by or underlying the forward-looking statements and therefore you should not place undue reliance on them. A list of important factors that could cause actual events or results to differ materially from those expressed or implied by forward-looking statements is included in RGA's most recent annual report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. , quarterly report on Form 10-Q Form 10-Q See 10-Q. and other documents filed by RGA with the Securities and Exchange Commission. We do not undertake any obligations to update these forward looking statements, even though our situation may change in the future. We qualify all of our forward-looking statements by these cautionary statements. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion