Allianz Suisse in reinsurance solution for legacy portfolio with Resolution Re

The persistent low interest rate environment over the past few years has prompted changes in the life insurance industry. Against this backdrop, Allianz Suisse Lebensversicherungs-Gesellschaft and the reinsurance company Resolution Re have agreed on an innovative reinsurance solution to hedge interest rate commitments.  

Under the agreement, which has been approved by the Swiss Financial Market Supervisory Authority (FINMA), Resolution Re will take over the market and insurance risks of a legacy portfolio of individual life insurance products, within the framework of quota share reinsurance. The products in the portfolio, which has a reserve volume of around CHF 4 billion, have been discontinued. The Allianz Suisse Group is one of the prominent insurance companies in Switzerland with a premium volume of over CHF 3.6 billion. The business activities of the Allianz Suisse Group include insurance, pensions and assets.  

The transaction will further strengthen the competitiveness and capital position of Allianz Suisse Lebensversicherungs-Gesellschaft by improving its risk-return ratio in a sustainable manner.

Lukas Morscher

The advisors 

Bär & Karrer acted as legal advisor to Allianz Suisse in this transaction. The team included Peter Hsu (pictured) and Tiffany Ender (both m&a, insurance), Christoph Suter, David Weimann and Vera Waldburger (all tax), Rehana Harasgama (data protection), Pascal Hachem (contract) as well as Mani Reinert (competition). 

Lenz & Staehelin advised global life insurance group Resolution Life and its Bermudian reinsurance platform Resolution Re on the transaction with Allianz Suisse Life.  The team was led by partner Lukas Morscher (pictured) and included counsel Roland Fischer (banking and finance), counsel Stephan Brandner (tax) and associate Leo Rusterholz (insurance and reinsurance). 

FabioAdmin

SHARE