InEvo Re Expands US Life Reinsurance, Industry Sees Major Deals and Market Stability

InEvo Re, a life reinsurer backed by Macquarie Asset Management, has entered the U.S. life and annuity market through a reinsurance agreement with a U.S.-based life insurer covering approximately $1 billion in long-dated liabilities. This transaction follows InEvo Re’s initial UK deal and underscores its strategic intent to grow partnerships and provide reinsurance solutions internationally for life insurers and annuity providers.

InEvo Re leverages Macquarie’s global investment platform, which manages around $588 billion in assets, supporting its capability to serve large-scale life insurance liabilities. The reinsurance sector has seen notable transactions in 2024, including Reinsurance Group of America (RGA) securing an asset-intensive deal with Allianz Suisse for $350 million in Swiss disability annuity liabilities, a first-of-its-kind structure aiming to enhance Allianz Suisse’s capital position. Furthermore, Allianz has expanded its reinsurance reach through Bermuda-based Sconset Re, which reinsures a $4 billion block of annuity liabilities and manages significant forward-flow new business. Market conditions for global reinsurance remain stable with near-historic high pricing for property catastrophe reinsurance and retrocession, providing balanced support for both insurers and reinsurers.

Separately, the insurance run-off sector continues to grow, with Bermuda playing a significant role; global non-life insurance run-off reserves hit a record $1.129 trillion, driven by both new business transitioning to run-off and reserve growth in existing portfolios, highlighting its increasing influence in the international insurance landscape.