OneAmerica® and Hannover Life Reassurance Company of America (Hannover Re US), member of the Hannover Re Group, a leading global reinsurer, have entered into a reinsurance agreement related to the Asset Care long term care (LTC) protection business written by The State Life Insurance Company®, a OneAmerica company.
Asset Care is a combination whole life insurance product that features guaranteed death benefits with cash values, while providing long term care (LTC) benefits through acceleration of the death benefit, plus an optional extension of LTC benefits, offering up to lifetime coverage with guaranteed premiums. Recent industry data from LIMRA ranked Asset Care No. 2 among all individual life/LTC-extension products.
“We have seen tremendous growth with our Asset Care solutions,” said Dennis Martin, OneAmerica president of Individual Life and Financial Services. “As more people become aware of the significant benefits and guarantees offered by these products, we believe this growth will continue. We’re committed to offering financial advisors and their clients industry-leading asset-based LTC products, using both whole life insurance and annuities, for many years to come.
“Hannover Re brings expertise in the reinsurance market and a desire to be on the leading edge of innovative product solutions, making them an ideal fit and a perfect complement to our strategy, products and experience,” Martin continued.
This reinsurance transaction is retroactively effective on Jan. 1, 2018, and will allow the two industry leaders to share all actuarial risks inherent in the OneAmerica product suite of Asset Care products. The agreement is for new Asset Care business written in 2018, and includes one of the industry’s broadest selection of asset-based products.
“Asset Care has been at the forefront of the combination LTC product market for over 25 years,” said Peter Schaefer, president and CEO, Hannover Re US. “OneAmerica’s financial strength, along with its expertise in this market, has allowed it to build a strong experience base, which gives us confidence in working with them.”
