MetLife finalises $10bn variable annuity risk transfer with Talcott

Core Insights - MetLife has completed a $10 billion variable annuity risk transfer transaction with Talcott Resolution Life Insurance Company, enhancing its risk management strategy [1][2] Group 1: Financial Impact - The transaction is expected to result in an annual reduction in adjusted earnings of approximately $100 million, which will be partially offset by estimated hedge cost savings of about $45 million [2] - This deal will reduce MetLife's portfolio risk and expedite the run-off of legacy business blocks [2] Group 2: Asset Management and Partnerships - MetLife Investment Management will continue to manage around $6 billion in assets on behalf of Talcott, reinforcing its role in asset management [3] - The agreement increases Talcott's total reinsured reserves to $14 billion by 2025, positioning it as a reliable partner for carriers seeking comprehensive risk management solutions [3]