Fortitude Re and Taiyo Life Seal $4 Billion Reinsurance Transaction
FGH Parent, along with its subsidiary, the global reinsurance powerhouse Fortitude Re, has revealed the successful signing and completion of a substantial $4 billion reinsurance agreement. This deal involves Fortitude International Reinsurance Company (FIRL) and Taiyo Life Insurance Company, a wholly owned division of T&D Holdings (T&D).
Effective Date: February 28, 2025. Taiyo Life will have reinsured a significant segment of its whole life annuity portfolio with Fortitude Re, while retaining responsibility for the service and administration of the reinsured policies.
This transaction represents the second collaboration between Fortitude Re and Taiyo Life and marks Fortitude Re’s sixth venture in the Japanese market.
Leonard Lin, Head of Asia at Fortitude Re, expressed, “We are deeply honored by Taiyo Life’s continued trust in us and look forward to further strengthening our successful partnership. This deal underscores our unwavering commitment to the Japanese market and our dedication to assisting our partners in achieving their objectives related to risk, capital, and growth.”
Alon Neches, CEO of Fortitude Re, commented, “The robust track record Fortitude Re has established in Japan highlights the strength of the partnership between Fortitude Re and its shareholders. T&D’s origins and extensive operations in Japan, coupled with Carlyle’s 25-year history in the country and its leading asset origination capabilities, have been instrumental in our business growth, ensuring that our policyholders reap the benefits of the compelling value proposition we offer. Together, we are delivering innovative solutions that provide long-term value for insurers in Japan and beyond.”
Legal counsel for Fortitude Re on the Taiyo Life transaction was provided by Sidley Austin LLP and Mori Hamada & Matsumoto.
This transaction follows the recent announcement that Unum Group plans to cede $3.4 billion of individual long-term care statutory reserves and approximately $120 million of multi-life individual disability insurance in-force premiums to Fortitude Re.
