RGA in €4bn longevity reinsurance deal for NN Life

Reinsurance Group of America (RGA) has completed a longevity reinsurance transaction with NN Life covering €4 billion of underlying reserves for the largest life insurance company in the Netherlands.

The transaction, which closed at the end of 2021, is the latest large longevity reinsurance or risk transfer arrangement that RGA has provided for a life insurer.

Reinsurance Group of America is one of the more active global players in the longevity risk transfer and reinsurance space.

Over the years, the company has provided longevity risk transfer solutions to many life insurers and also some pension funds, as well as provided the reinsurance backing to underpin and assume all of the risks associated with pension longevity swap arrangements.

Most recently, in December 2021, RGA provided longevity reinsurance to cover EUR 7 billion of liabilities for Aegon.

This latest longevity reinsurance deal covers roughly €4 billion of underlying reserves for NN Life, which as well as helping it transfer longevity risk will also have helped the life insurer free up capital to support its continued growth.

“Across RGA, we pride ourselves on developing comprehensive and creative answers to our clients’ challenges while maintaining a competitive value proposition,” explained Simon Wainwright, Executive Vice President, Head of EMEA, RGA.

“Our recent work with NN Life was emblematic of this commitment, and we appreciated their partnership as we worked to develop a tailored solution for the needs of the Dutch market.”

As a reminder, RGA has a joint-venture stake in Langhorne Re, a third-party capital backed life and annuity focused reinsurance structure managed by RenaissanceRe. To-date, Langhorne Re has not participated in any of RGA’s transactions.

RGA has previously entered into numerous longevity risk transfer and reinsurance arrangements and so features regularly in our extensive Longevity Risk Transfer Deal Directory.