Norwalk-based Wilton Re, which acquires and manages existing life insurance policies and annuities, has formed a $900 million partnership with Sun Life, a global financial services company with a major Hartford-area presence.
Under the agreement annoucjed Tuesday, Wilton Re will establish Windsor Life Re, a U.S.- and Bermuda-based reinsurer. Reinsurance allows insurers to transfer some of the financial risks associated with their policies to another company.
Wilton Re and Sun Life will each provide about one-third of Windsor Life Re’s initial equity capital, with other investors supplying the remainder.
Windsor Life Re will initially assume responsibility for approximately $1.7 billion of existing life insurance and annuity policies from Wilton Re. The new company could eventually grow to about $10 billion in assets, the companies said.
Sun Life’s institutional investment arm, SLC Management, will serve as Windsor Life Re’s lead asset manager, while Wilton Re will manage the new company.
The partnership is expected to launch during the first half of 2027, subject to regulatory approvals and other closing conditions, the companies said.
