Fortitude Re and Unum Sign $3.8bn Long-Term Care Reinsurance Agreement
The deal covers about 50,000 individual policies and will reduce Unum’s legacy long-term care risk while keeping policy administration in-house.
- On Monday, July 6, 2026, Unum Group announced an agreement to cede an individual long-term care block representing $3.8 billion in statutory reserves to Fortitude Reinsurance Company Ltd. .
- President and CEO Richard P. McKenney stated the transaction advances Unum's "Closed Block" strategy to reduce exposure to legacy long-term care business and focus on employee benefits.
- The agreement covers approximately 50,000 individual LTC policies, with Unum retaining policy administration while Fortitude Re retrocedes 100% of the LTC insurance risks to a highly rated global reinsurer.
- Following the transaction's expected 2026 closing, Unum anticipates maintaining a robust capital position with holding company liquidity between $1.5 billion to $2.0 billion and risk-based capital of 400% to 425%.
- Combined with a 2025 reinsurance deal, this transaction reduces Unum's total LTC statutory reserves by about 40%, leaving approximately $11.0 billion in remaining reserves with 70% backing group LTC policies.
12 Articles
12 Articles
Strs Ohio Has $2.92 Million Stock Position in Unum Group $UNM
Strs Ohio lifted its stake in shares of Unum Group (NYSE:UNM - Free Report) by 887.2% during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 39,972 shares of the financial services provider's stoc
Fortitude Re and Unum sign $3.8bn long-term care reinsurance agreement
Global reinsurer Fortitude Re has signed a $3.8 billion long-term care (LTC) reinsurance transaction between its subsidiary, Fortitude Reinsurance Company Ltd. (FRL) and Unum Life Insurance Company of America (Unum), a subsidiary of Unum Group. Upon receipt of regulatory approvals and subject to satisfaction or waiver of certain other customary closing conditions, Unum will recapture an individual LTC block from its wholly-owned subsidiary, Fair…
Coverage Details
Bias Distribution
- 78% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium