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FOR IMMEDIATE RELEASE
OLDWICK - NOVEMBER 21, 2022 05:19 PM (EST)
AM Best has commented that the Credit Ratings (ratings) of The Nassau Companies of New York, Inc. and its insurance subsidiaries, Nassau Life Insurance Company (New York, NY), Nassau Life and Annuity Company (Hartford, CT) and Nassau Life Insurance Company of Kansas (Overland Park, KS) (collectively referred to as the Nassau Insurance Group [Nassau]), remain unchanged following the Nov. 18, 2022, announcement that Nassau will be acquiring Delaware Life Insurance Company of New York (DLNY), a wholly owned subsidiary of Group 1001 Holdings, LLC. DLNY is a provider of fixed annuities, variable annuities and life insurance products, with 16,000 policies in force and approximately $1.8 billion in assets as of Sept. 30.
This transaction follows several others made by Nassau over the previous couple of years and is in line with their current growth strategy of acquiring small to midsized life/annuity blocks of business, while continuing to grow annuity sales. AM Best notes that while there may be some impact to risk-adjusted capital, Nassau should remain well-capitalized and the acquisition will be accretive to earnings. AM Best expects Nassau to maintain its current business strategy of growing its platform by providing digitally enabled financial services across insurance, reinsurance and asset management segments.
The transaction is expected to close in the second half of 2023 following regulatory approval. Post-transaction, Nassau will oversee approximately $20 billion in assets under management.
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best’s Credit Ratings. For information on the proper use of Best’s Credit Ratings, Best’s Performance Assessments, Best’s Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best’s Ratings & Assessments.
AM Best is a global credit rating agency, news publisher and data analytics provider specializing in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City.