Zurich signs agreement with Rothesay Life to transfer further tranche of its UK annuity business
Swindon, January 20, 2017
Zurich UK Life has signed an agreement to transfer a further tranche of its portfolio of immediate annuities to Rothesay Life. This follows the original transaction in May 2015 and the transfer of additional tranches in December 2015 and June 2016.
Subject to UK Court approval and regulatory consultation, the parties intend to action the transfer of annuities to Rothesay Life under a Part VII Transfer later this year.
Zurich has not actively marketed its annuity business since 2005, choosing instead to focus on growing its core business. This transaction is in line with Zurich's current strategy of actively managing its legacy business for value and exiting non-strategic markets.
This transaction takes Rothesay Life’s new business premiums written since the start of 2015 over £10bn and is part of an increasingly important source of new business, that being insurer to insurer transactions.
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