Life Insurance and Reinsurance Markets: Growth, Capital, and Strategic Expansion
Kuvare Life Re opens Tokyo office to bolster Asian expansion
01 Oct 2025
Kuvare Holdings has opened a Japan Representative Office for its reinsurance arm, Kuvare Life Re Ltd. (KLR), to expand in the Japanese and broader Asian markets. The Tokyo office strengthens regional partnerships, following KLR’s reinsurance deals with three major Japanese life insurers covering five products and totaling over ¥500 billion (US$3.5 billion) in premiums. Daisuke Nagamori, with 25 years of experience in Asia’s insurance sector, has been appointed chief representative for Asia-Pacific to lead KLR’s regional engagement. The move reflects Kuvare’s focus on innovative, partner-centric reinsurance solutions and long-term growth in Asia.
Life insurance sales soar as families scramble to protect estates from IHT
30 Sep 2025
Life insurance sales in the UK have surged 18% to £447m as families seek to protect estates from inheritance tax (IHT) following recent rule changes, according to TWM Solicitors. The rise is driven by upcoming changes, including the 2027 reversal of IHT exemptions on defined contribution pensions, which could push more estates above the £325,000 nil-rate band. Life insurance payouts are tax-free, and when held in trusts, they can also be exempt from IHT, making them a key estate-planning tool. TWM cautions that policies must be properly structured in trusts, or proceeds could face IHT and probate delays, reducing their effectiveness. This has led to increased demand for advice on using life insurance for estate protection.
Fitch: UK life insurers hold strong capital despite weaker annuity sales
29 Sep 2025
UK life insurers remain financially strong, with Solvency II ratios around or above 200%, despite falling bulk annuity volumes and tighter margins on new deals, according to Fitch Ratings. IFRS shareholder equity dipped largely due to high capital distributions, while growth in contractual service margins slowed amid weaker sales and less profitable business. Bulk annuity volumes fell to £10bn in H1 2025 from £15bn a year earlier, driven by fewer mega-deals, though smaller transactions increased. Fitch projects total 2025 volumes around £40bn, with ongoing de-risking supporting mid- to long-term demand. Rising allocations to illiquid assets, including private credit, pose a regulatory concern, and the Life Insurance Stress Test will highlight potential vulnerabilities.
Athene announces block reinsurance transaction with Japanese insurer Sony Life
29 Sep 2025
Athene, a subsidiary of Apollo Global Management, will reinsure a block of U.S. dollar-denominated whole life policies from Sony Life Insurance and retrocede the mortality risk to Swiss Re. This marks Athene’s second block reinsurance deal and its eighth with Japanese insurers, totaling around $19 billion in transactions over five years. Executives highlight that Japanese insurers increasingly seek tailored, flexible solutions to strengthen finances and support policyholders. Athene and Apollo’s expertise in retirement and capital management positions them to meet Japan’s evolving market needs. The deal underscores their strategy of providing safe, yield-focused solutions for Japanese retirees and savers.
