An Exciting New Chapter—Mutual Trust Life Solutions
Early in 2022, we announced the merger of Mutual Trust Life Insurance Company into Pan-American Life Insurance Company and the introduction of Mutual Trust Life Solutions. This next step in the integration process that began in 2015 makes Mutual Trust Life Solutions a fully integrated division of Pan-American Life Insurance Group and reaffirms our commitment to the Mutual Trust brand and to the whole life portfolio of products. The merger creates a company that is bigger, safer and stronger for our clients and our distribution partners, with more than double the capital and surplus and risk-based capital of more than 500 percent.
Greater financial strength is certainly one of the benefits of the merger, but just as important are the things that did not change. First and foremost, we are not demutualizing and there are no external investors. We are still a Mutual Holding Company owned by the policyholders. Second, Mutual Trust will continue to operate from its existing offices in Oak Brook, IL, providing the same high-quality service that you expect from the people that you trust with your business today. Third, our commitment to distributors, to guarantees and to participating whole life remains firm. We will continue to offer the same quality products with the same features, benefits and availability that our distribution partners enjoy today.
So what is changing? As mentioned before, we are bigger, safer and stronger than ever. Financial strength has been and always will be a key focus for the organization. To that end the merger allows us to diversify our risks, making writing new business more capital efficient, alleviating surplus strain and providing more flexibility in product development. From a marketing perspective, our name and our logo have changed but still honor the Mutual Trust brand that you have come to know. There is also an immediate benefit on the product side, as the merger also provides our distribution partners with easier access to all of the products that PALIG has to offer including group health products, accident products and life insurance products for foreign nationals.
So, as 2023 opens, we have a larger organization with even greater financial strength, a sterling ratings profile and an improved Risk-Based Capital ratio. We have expanded growth opportunities for the company and our distribution partners and we have a competitive product portfolio that will continue to expand throughout the year. Mid-year, look for us to add a critical illness rider to our whole life portfolio. Later in the year we will introduce our first indexed universal life product, adding a competitive cash accumulation product to the portfolio. And for early 2024, look for a new limited pay participating whole life product with guaranteed payment periods, guaranteed cash values and guaranteed cash value growth.
The New Year will bring new challenges and new opportunities as it always does. Over the last few years, as an industry, we showed the world the value that our products provide and the importance of what we do. Through economic uncertainty, political turmoil and a global pandemic, we showed the world that no one does more good for families, for businesses and for our communities than our industry does and has done for over one hundred years. There has never been a better time to be in our industry and I am excited for the role that Mutual Trust Life Solutions will play. From everyone here at Mutual Trust, we wish you and your families a happy and safe new year!