The New York State Department of Financial Services ("DFS") has approved a transaction that, it said, was designed to expand insurance services in New York.
The DFS has approved the transition of Security Mutual Life Insurance Company of New York's group life, accident, and disability insurance to Renaissance Life & Health Insurance Company of New York, in conjunction with the DFS's approval of Renaissance Life's expanded authority to write life insurance in the state.
As part of the transaction, Security Mutual's 34 group division employees became employees of Renaissance, which will further expand its New York footprint with a new facility in downtown Binghamton, New York, to provide service for its employee benefits offerings.
"DFS conducted a detailed review of this transaction and, with the cooperation of both Security Mutual and Renaissance Life, was able to quickly grant the necessary approvals to facilitate the preservation of jobs and the expansion of Renaissance Life in New York," said the DFS's superintendent Maria T. Vullo. "We are pleased that Renaissance Life will join Security Mutual in maintaining a robust insurance sector in the Southern Tier and serving consumers throughout New York."
Bruce W. Boyea, chairman, president, and chief executive officer of Security Mutual, stated, "We are pleased to welcome Renaissance to the Binghamton community, and we expect this transaction will enhance the ability of each company to serve the diverse and emerging insurance needs of its customers throughout the United States, as well as promote employment in Greater Binghamton. We are excited about the opportunities this transaction creates for Security Mutual, Renaissance, and Binghamton, and applaud DFS for its commitment to the Southern Tier."
"This transaction demonstrates our strategic commitment to broaden and enhance our insurance product offerings and position our company as a multi-line ancillary insurance leader," stated Robert P. Mulligan, president and chief executive officer of Renaissance (and a graduate of Binghamton University). "We are honored to have partnered with DFS and believe the addition of Security Mutual's group operation will create a seamless buying and service experience for our key customer segments, which include brokers and the employers and employees they trust us to insure."
The DFS licenses nearly 200 life insurance companies, 1,100 property/casualty insurance companies, approximately 100 health insurers and managed care organizations, and 300,000 individual insurance licensees. The DFS's life bureau supervises more than 651 regulated entities, including 132 licensed life insurance companies with assets of $3 trillion and premiums of more than $208 billion. The 132 life insurers supervised by the bureau include 80 domiciled in New York and 52 foreign domiciled insurers. In addition, the bureau supervises 35 fraternal benefit societies; 12 retirement systems, including four private pension funds and eight governmental systems; nine governmental variable supplements funds; 378 charitable annuity funds; 22 employee welfare funds; 26 life settlement providers; 26 accredited reinsurers; and 11 certified reinsurers.
Steven A. Meyerowitz
Steven A. Meyerowitz, a Harvard Law School graduate, is the founder and president of Meyerowitz Communications Inc., a law firm marketing communications consulting company. He may be contacted at [email protected].