Company will sell wing of its business to another top insurer, incorporating around 4,000 advisors
There has been a significant movement in the life insurance segment as shares in MetLife slipped on the back of a decision to sell its advisor force to another leading insurer.
Earlier this week it was announced that Massachusetts Mutual Life Insurance would acquire the Premier Client Group from MetLife. According to Steven Kandarian, the company’s CEO, speaking in a statement, the move will allow the firm to expand its dominance across the life insurance sector and extend its geographical reach.
“This transaction will enable our US retail business to sharpen its focus on its core strength in product manufacturing while also providing a broader distribution network through the partnership with MassMutual,” he said.
“By decoupling manufacturing from distribution, our US retail business will be more agile, and both MetLife and the US retail business can achieve significant cost savings.”
There had been reports circulating for some time about the two companies being in talks. The unit itself covers around 4,000 advisors as well as 40 advisory and sales operations.
As for MetLife, it had commented earlier in the year that it planned to spin off the retail segment of its business in order to offer clearer value to shareholders.
Earlier this week it was announced that Massachusetts Mutual Life Insurance would acquire the Premier Client Group from MetLife. According to Steven Kandarian, the company’s CEO, speaking in a statement, the move will allow the firm to expand its dominance across the life insurance sector and extend its geographical reach.
“This transaction will enable our US retail business to sharpen its focus on its core strength in product manufacturing while also providing a broader distribution network through the partnership with MassMutual,” he said.
“By decoupling manufacturing from distribution, our US retail business will be more agile, and both MetLife and the US retail business can achieve significant cost savings.”
There had been reports circulating for some time about the two companies being in talks. The unit itself covers around 4,000 advisors as well as 40 advisory and sales operations.
As for MetLife, it had commented earlier in the year that it planned to spin off the retail segment of its business in order to offer clearer value to shareholders.
