Swiss Re, the world's biggest life and health reinsurer, is buying Windsor Life and its life office consolidator parent Life Assurance Holding Corporation for £333m in cash.
The Swiss firm's Admin Re closed book operation will take charge of the running of more than 800,000 Windsor Life policies with total assets of £5.2bn.
Swiss Re says the deal gives it the scale and infrastructure to expand its business in the UK running closed life office books and says it expects to make further acquisitions.
The Windsor Life admin structure will be merged with Zurich Life – acquired by Admin Re in 2003 – and will be built into an operation which will target further business in the closed life office book sector. No redundancies have been announced so far.
The day-to-day admin of the client bank will be outsourced to New York-listed global IT services company Computer Sciences Corporation.
LAHC and Windsor Life have between them acquired 11 life office books since 1994, including books from Gan Life & Pensions, Crown Life, Aegon, Combined Life and Bank of Ireland Lifetime.
Swiss Re head of media relations Henner Alms says: “We see great potential for this part of the business.”