Wilson will join the board in September, subject to FSA approval, from United Business Media where he has been CFO since 2001 and deputy CEO since 2008.
Palmer, who is 55, has been a board member at L&G since 1996 and group director for finance since 2001. He will work in tandem with Wilson to ensure a smooth succession and handover process.
L&G chairman Sir Rob Margetts says: “In due course, I and the whole board wish Andrew a happy and busy retirement.
“I am now very pleased that Nigel Wilson has chosen to join Legal & General, and that, with Andrew’s help, an orderly transition will take place later this year.”