Monument Re has transferred a €1.4 bn legacy reinsurance portfolio to RGA Americas Reinsurance, following regulatory and board approvals.
The portfolio consists of annuity and other life insurance liabilities acquired through Monument Re’s 2020 transaction with Greycastle Holdings.
According to a company statement, the transfer will release capital resources that Monument Re intends to redeploy toward its core strategy of consolidating European life insurance portfolios.
The transaction closed on May 2, after receiving approvals from the boards of both Monument Re and RGA, along with a non-objection from the Bermuda Monetary Authority.
CEO Carlo Elsinghorst stated that the company maintains a strong solvency position. He added that the combination of increased financial flexibility and recent streamlining of group support operations will strengthen Monument’s ability to pursue strategic transactions in the European market.
Monument retains a very strong solvency position and the increased financial flexibility as a result of this transaction together with the recent rationalizing of group support functions will enhance our capacity to capitalize on our market leading, solutions-focused transaction capabilities
Carlo Elsinghorst, chief executive officer
Monument Re first announced its agreement to acquire GreyCastle Holdings Ltd. in March 2020, completing the deal in May of the same year.
GreyCastle, formed by institutional investors in 2014, reinsured a large block of life and annuity risks from XL Life Reinsurance.
Monument Re has recently centralized its European support functions in Dublin and aligned with Bermuda’s updated regulatory standards to enhance its operational efficiency.
The company, based in Bermuda, focuses on acquiring capital-intensive European life insurance portfolios and operates subsidiaries in Belgium, Ireland, the Isle of Man, and Luxembourg.
