MassMutual has agreed with Nationwide to reinsure a portfolio of fixed Universal Life with Secondary Guarantees policies associated with nearly $6bn in statutory reserves.
The policies included in the transaction carry a total face value of close to $16bn.
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Once completed, the deal will add $6bn to Nationwide Financial’s reserves.
MassMutual will keep administering the policies covered by the arrangement and will continue to serve as the contact point for policyholders.
Nationwide has selected Barings, an alternative asset manager owned by MassMutual, as one of the investment managers for the portfolio.
Barings will also oversee additional general account assets for Nationwide.
Nationwide CEO Kirt Walker said: “This agreement represents a tremendous opportunity to put our strong capital position to work and grow our life insurance business, which was designated the third-largest writer of life insurance in 2025.
“Bringing together two strong brands allows us to protect more Americans with life insurance.”
Completion of the deal is scheduled for the second quarter of 2026 and remains dependent on standard closing terms and regulatory clearances.
Nationwide expects to absorb the added business without increasing headcount.
MassMutual CFO Mary Jane Fortin commented: “This transaction creates capital and other economic benefits that support our continued investment in long-term growth as we deliver value to our policyowners and seek to help even more people secure their future and protect the ones they love.
“We are very pleased to have reached this mutually beneficial agreement with Nationwide as a strategic partner.”
In July 2025, Nationwide closed the acquisition of Allstate’s employer stop-loss unit in a deal valued at $1.25bn.
The purchase broadened Nationwide’s offering in self-funded and stop-loss products for small and mid-sized employers.
