MetLife is close to a distribution deal with Living Time which will see its sales staff offer Living Time’s fixed-term product.
Money Marketing understands Metlife is likely to unveil a distribution deal with Living Time this week before looking to launch its own fixed-term product by the start of 2012.
Metlife’s acquisition of Alico in November held back plans to launch its own fixed-term product as Alico underwrites Living Time’s fixed-term offering. An exclusive underwriting deal between Alico and Living Time is due to end in 2012.
MetLife says: “In the UK, work has been undertaken on integrating Alico and MetLife. There have been discussions with a number of key contributors, of which Living Time is one. MetLife is committed to product innovation and fixed-term annuities have an important part to play in the UK retirement market and Living Time has a proven track record with this product.”
Living Time marketing director Steve Lowe was recently recruited by Just Retirement and some sales staff have recently left. Under the distribution deal, Living Time will remain an independent company.
Living Time managing director of distribution and marketing Dave Harris says: “We are in the process of an expansion of our distribution footprint. In 2010, the fixed-term annuity market increased exponentially with LV= entering the market. IFAs are increasingly viewing the concept of a fixed-term annuity as mainstream, so now is the time for us to grow the market even faster.”