Lincoln Financial enters reinsurance deal with Talcott
Lincoln National entered a reinsurance deal with Talcott to cede about $5.8 billion of in-force GUL statutory reserves, about 37% of its remaining block.
The transaction also reinsures about $500 million of funding agreement business with a Talcott subsidiary.
Combined with a 2023 Fortitude Re deal, about 60% of total in-force GUL would be reinsured at closing.
All-in statutory capital impact is estimated at about $200 million, lowering the RBC ratio by about 10 percentage points.
Closing is targeted for Q4 2026, effective Oct. 1, 2026; annual subsidiary remittances are seen rising by about $30 million to $40 million over the medium term.
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