Press Release:
The Hartford Acquires Group Life and Accident Policies From Union Labor Life
Press Release
News Article February 2005
$29 Million Sale of 100,000 Policies Enhances The Hartford's Group Business; Pushes Union Labor Life's Surplus to 10-Year High
SIMSBURY, Conn., Feb. 14 /PRNewswire-FirstCall/ -- The Hartford Financial Services Group, Inc, one of the leading sellers of group life and disability insurance in America, has acquired 100,000 group life and accident policies from the Union Labor Life Insurance Co., a subsidiary of ULLICO Inc.
The $29 million purchase is a strategic acquisition by The Hartford's group life and accident insurance businesses, according to Richard Mucci, executive vice president of The Hartford's Group Benefits Division. The Hartford sells group life and accident policies through Hartford Life Insurance Co. and Hartford Life and Accident Insurance Co.
"This transaction adds scale to The Hartford's growing group life and accident businesses, improves our leadership position in the market, and helps make us more competitive from a cost standpoint," Mucci said.
"We welcome our new customers from Union Labor Life," Mucci said. "We pledge to provide them with the great service from The Hartford that millions of customers across America have come to appreciate."
The proceeds from the transaction increased Union Labor Life's capital and surplus to its strongest level in 10 years, according to Mark Singleton, senior vice president and chief financial officer of ULLICO Inc. At approximately $125 million, as of Jan. 31, 2005, Union Labor Life's surplus represents an increase of more than $100 million from the final adjusted 2002 capital and surplus, he said.
The transaction is a component of the final phase of ULLICO's two-year turnaround plan designed and executed by the new management team brought in during 2003 to restore operational integrity and fiscal responsibility, according to Singleton.
"This is a good deal for both Union Labor Life and The Hartford," Singleton said. "We were able to strengthen our balance sheet and provide a good home for this stable, well performing block of policies.
"We have the satisfaction of knowing that The Hartford will service these customers with the same high quality and dedication that we have provided," Singleton said.
The transaction with The Hartford is a component of a broader partnership between ULLICO, UnionSecure, and The Hartford. UnionSecure, a joint program between Union Privilege and ULLICO Inc., and underwritten by the issuing companies of The Hartford, develops and markets life and accident insurance through direct mail to individual union members.
ULLICO Inc. (ULLICO), a privately held holding company with over $5 billion in assets under management, is the only fully unionized, multi-line insurance and financial services company in the country. ULLICO's subsidiary companies include The Union Labor Life Insurance Company (ULL), Ulico Insurance Group, Zenith Administrators, and Trust Fund Advisors (TFA).
The Hartford is one of the nation's largest financial services and insurance companies, with 2004 revenues of $22.7 billion. The company is a leading provider of investment products, life insurance and group benefits; automobile and homeowners products; and business property-casualty insurance.
The Hartford is The Hartford Financial Services Group, Inc. and its subsidiaries, including the issuing companies of Hartford Life Insurance Company and Hartford Life and Accident Insurance Company.
This press release is provided in good-faith by Chiltern Magazine Services Ltd ("CMS") as a service to users of www.telecomsinfo.com. Whilst all care is taken in sourcing and preparing material includede here, any error or incorrect content cannot form the basis for any legal action against the site-owner. Users are advised to check the accuracy of any statements before relying upon them. Likewise, any forward-looking statements made by the author of the press release should be treated as such.
CMS, P&A House, Alma Road, Chesham, Bucks. HP5 3HB, UKTel: +44 (0)1494 771734
Fax: +44 (0)1494 778994
e-mail: Editor, CMS Businessinfo
copyright © 2008 all rights reserved
For more information about us, visit CMS Businessinfo.
