DALLAS, Jan. 4, 2021 /PRNewswire/ -- Independent Life Insurance Company ("Independent Life") announced today it has entered into a reinsurance agreement with Hannover Life Reassurance Company of America ("Hannover Re US"), rated A+ by A.M. Best. In accordance with this agreement, effective October 1, 2020 Hannover Re US will reinsure a percentage of Independent Life's in-force business and new business. Independent Life remains 100% responsible for the benefit payments to the structured settlement payees and will continue to administer these payments. Hannover Re US will reimburse Independent Life for the reinsured portion of these payments.
"This is an important element of Independent Life's overall capital plan," shared James D. Atkins, Chief Executive Officer of Independent Life. "This arrangement will provide additional protections for our customers while facilitating the future growth of our business."
This transaction is not expected to change the way Independent Life prices or underwrites its structured settlement annuity products. Independent Life will still be known for its competitive pricing resulting from its detailed medical underwriting. Independent Life will continue to maintain appropriate controls to manage its business risks and protect the long-term interest of its payees.
"Hannover Re US is committed to expanding reinsurance support for the broader annuity market. We are excited to partner with Independent Life and applaud the effort and the mission of the structured settlement industry," said Peter Schaefer, Chief Executive Officer for Hannover Re US. "Independent Life provides Hannover Re US with a platform to participate in an industry that improves the lives of personal injury victims and their families."
The addition of the reinsurance agreement with Hannover Re US will enhance Independent Life's ability to continue to develop innovative solutions for the structured settlement industry.
ABOUT INDEPENDENT INSURANCE GROUP
Independent Life Insurance Company, a subsidiary within Independent Insurance Group, was named the second fastest growing U.S.-based life insurer in 2019 by S&P Global Insights. The company is the first annuity provider to focus exclusively on the structured settlement market to help personal injury victims and their families. Independent Life Insurance Company's goal is to provide trustworthy, competitive and innovative annuity products that professional consultants can easily integrate with other financial products and governmental benefits to produce optimum settlement planning solutions for personal injury victims and their families. For additional details, please visit www.independent.life.
ABOUT HANNOVER RE
Hannover Re, with gross premium of more than EUR 22 billion, is the third-largest reinsurer in the world. It transacts all lines of property & casualty and life & health reinsurance and is present on all continents with more than 3,000 staff. Established in 1966, the Hannover Re Group today has a network of more than 150 subsidiaries, branches and representative offices worldwide. The Group's German business is written by the subsidiary E+S Rück. The rating agencies most relevant to the insurance industry have awarded both Hannover Re and E+S Rück outstanding financial strength ratings: Standard & Poor's AA- "Very Strong" and A.M. Best A+ "Superior".