US reinsurer and Tongyang Life seal historic coinsurance deal

This is the first cross-jurisdictional coinsurance transaction in South Korea.

Reinsurance Group of America, a reinsurer specialising in life and health, has announced an agreement with Tongyang Life Insurance to reinsure a $140m (KRW200b) in-force block of life policies through coinsurance. 

This marks the first cross-jurisdictional coinsurance transaction in South Korea.

“We are excited to be a strategic partner with Tongyang Life in achieving this significant milestone in the Asia-Pacific market,” said Gaston Nossiter, Senior Vice President, Head of Asia Pacific, Global Financial Solutions, RGA, in a joint press release. 

“In transactions such as this, RGA brings a deep understanding of our client’s financial and customer needs, leveraging our extensive knowledge of local markets and global best practices, to support insurers’ long-term objectives in the current economic and regulatory environment,” Nossiter added.

“This proactive coinsurance agreement helps Tongyang Life facilitate stable capital management and financial soundness amid an uncertain financial environment.” said Moon-Koo Lee, CEO, Tongyang Life, also said in the statement.

($1.00 = KRW1,389)