Sun Life wraps up purchase of Assurant’s employee-benefits business

Sun Life Financial Inc (TSE:SLF)  says its acquisition of the employee-benefits business of Assurant Inc. means it’s now in a position to offer “one of the broadest arrays of employee benefits to U.S. employers of all sizes”.

The Toronto-based company, which announced the completion of the purchase on Tuesday (1 March), revealed it has received an “enthusiastic response across the board about the value our combined business will deliver.”

“Today is an important milestone for us, and we welcome a talented group of employees and valued customers and partners to the Sun Life family,” said Dan Fishbein, MD, President, Sun Life Financial U.S in a statement.

The acquired business adds new capabilities and scale and makes Sun Life Financial U.S. the sixth-largest group benefits business in the U.S.

“This acquisition shows our commitment to being a leader in the U.S. group benefits business, adding greater breadth, capabilities and talent in one of our strategic pillars for growth,” added Dean Connor, President and Chief Executive Officer, Sun Life Financial.

The transaction, valued at $975 million, includes the purchase of a dental business and provider network, a group life and disability business, strong products and capabilities in voluntary benefits and vision, and integrated capabilities in benefits communications, deductions reporting and administration.

The financial services organization said it was working with Assurant to bring the businesses under the Sun Life brand over the coming months, with the two “committed to a smooth transition process.”

Also included in the transaction is Disability RMS, which operates by partnering with other insurers to offer disability products. Disability RMS will continue to operate as a dedicated business unit.

Sun Life Financial Inc. (Sun Life Financial) is a financial services organization, which provides a range of protection and wealth products and services to individuals and corporate customers. The Company operates in five segments: Sun Life Financial Canada (SLF Canada), Sun Life Financial United States (SLF U.S.), MFS Investment Management (MFS), Sun Life Financial Asia (SLF Asia) and Corporate. The Company distributes its products through a variety of distribution channels, including direct sales agents, managing general agents, independent general agents, financial intermediaries, broker-dealers, banks, pension and benefits consultants and other third-party marketing organizations. The Company operates in Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia and Bermuda. More from Reuters »

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