Canadian firm picks up policies with more than US$100 million in annual premiums
iA Financial Group has added a significant chunk of life insurance policies to its book of business, with the completion of an acquisition in the US.
The Quebec City headquartered firm has acquired two existing blocks of business from Prosperity Life Group totalling 115,000 policies with more than US$100 million in annual premiums. The policies are Final Expense and Term Life products issued by Prosperity company S.USA Life Insurance Company, Inc., an Arizona based insurer.
iA says the acquisition will be accretive from the first year, both on a core and reported basis.
The deal with Prosperity also adds iA Financial Group’s products available through Prosperity’s network of approximately 15,000 sales agents contracted through Independent Marketing Organizations, although around two‑thirds of these agents and IMOs already have a contractual agreement with iA Financial Group subsidiary American-Amicable Life Insurance Company to sell iA's products.
“With the closing of this transaction, iA continues to enhance its footprint in the United States, further solidifying its position in the Final Expense and Term Life markets," remarked Sean O'Brien, Executive Vice-President and Chief Growth Officer US Operations. "We are pleased to integrate new agents and IMOs and are committed to providing them with the resources and support they need to thrive within our network and continue to offer outstanding service to their clients."
The acquisition continues a period of growth for iA Financial Group which announced that its iA Private Wealth business would acquire approximately $2 billion in assets under administration and 16,000 client accounts from Laurentian Bank Securities.
iA Financial Group also announced some executive leadership changes recently, as Michael Stickney, executive vice-president and chief growth officer US Operations, and co-head of Acquisitions, will retire in the coming months after 25 years of dedicated service. He will be succeeded by Sean O'Brien, who has been a member of the Executive Committee and brings nearly 30 years of experience in the financial sector.
