Prudential in $4bn longevity reinsurance transaction with NN Life & Pensions

A subsidiary of Prudential Financial, Inc. has entered into a $4 billion longevity reinsurance risk transfer agreement with NN Life & Pensions, a subsidiary of NN Group, covering around 96,000 policyholders with The Prudential Insurance Company of America.

Effective July 1st, 2025, this is the second international longevity reinsurance transaction between Prudential and NN Life & Pensions, marking continued expansion for the firm within the Dutch marketplace.

The transaction contributed to an increase in the NN Life Solvency II ratio to 200% from 187% at the end of 2024, and also increased the capital position of the Group, as explained by CEO, David Knibbe, in NN Group’s financials.

“Our capital position increased with a Solvency II ratio of 208%, or 205% on a pro-forma) basis, from 194% at the end of 2024, reflecting favourable market conditions, strong organic capital generation and a new longevity reinsurance agreement,” said the CEO.

Dylan Tyson, president of Retirement Strategies and head of the company’s Global Retirement Center of Excellence, commented: “Prudential is pleased to again collaborate with NN Life & Pensions, as we build the scale of our Institutional Retirement Strategies work in the Netherlands.

“This longevity risk transfer further demonstrates our commitment to the global retirement marketplace, as we seek to help millions more people protect their life’s work.”

Rohit Mathur, head of International Reinsurance at Prudential Retirement Strategies, said: “The strong relationship we’ve fostered with NN Life & Pensions since the first transaction in 2023 led to a smooth and efficient close. Our ability to deliver customized reinsurance solutions further solidifies us as a global leader in assisting insurers and plan trustees.

“We continue to anticipate increased activity and demand in the Dutch market and are excited by the opportunities for Prudential to help those seeking to manage longevity risk as part of their strategic objectives.”