RenRe and RGA launch new life reinsurer
Bermudian reinsurer RenaissanceRe is teaming up with Reinsurance Group of America to launch a new life reinsurer.
Langhorne Re, which will be based in Bermuda, is backed by $780 million of initial capital committed by RenRe and RGA, as well as third-party investors.
The new reinsurer will target large in-force life and annuity blocks globally.
“RenaissanceRe’s experience with managing third-party capital and sophisticated risk management combined with RGA’s experience in the life market make this a very attractive partnership,” said Aditya Dutt, president, Renaissance Underwriting Managers Ltd.
“As a result, we expect both clients and policyholders will benefit from our long-term approach and track record of capital stewardship.”
Langhorne Re will combine a strong, long-term capital base with underwriting and third-party capital management support from RGA and RenaissanceRe “to purchase large in-force life and annuity blocks, allowing clients to de-risk and optimise their capital management”, the companies said in a statement today.
Scott Cochran, executive vice-president, corporate development and acquisitions, at RGA, said: “Powered by the complementary and industry-leading capabilities of RGA and RenaissanceRe, Langhorne Re is uniquely positioned to provide competitive and flexible solutions that expand RGA’s existing client offerings.”
Barclays acted as financial adviser and Sidley Austin LLP as legal adviser for Langhorne Re.