Jackson National Life Insurance Company has acquired a U.S. subsidiary of Swiss Re for cash in an effort to grow its traditional life insurance servicing business.
Jackson officials in Denver and its life business headquarters in Lansing, Mich., said no new product development and distribution is involved.
The 1.5 million policies it is acquiring, with assets of approximately $10 billion, will be integrated into its existing business, the officials said.
Matt Gonring, a spokesman for Jackson in Lansing said that, "our core competence is technology and service, and support for policyholders."
"We plan to integrate this book of business into the Jackson infrastructure," he said.
The company is SRLC America Holding Corp. (SRLC).
Jackson will pay $621 million in cash for the business, and will finance the purchase internally.
Swiss Re will retain a portion of the SRLC business through reinsurance arrangements to be undertaken prior to the closing. The transaction is subject to regulatory approval and is expected to close in the third quarter of 2012, Jackson officials said.
