Encova Life Insurance Company, an affiliate of the Encova Mutual Insurance Group, has now become an integral part of PALIG following the official completion of the transaction, which was initially announced in May 2023.
The strategic move is poised to have substantial financial implications, with the transaction contributing approximately US$60 million in revenues, boosting PALIG’s total assets by over $500 million. Additionally, the acquisition brings an influx of $35 million in insurance premiums and incorporates 79,000 covered lives into PALIG’s US life insurance business.
The milestone also bolsters PALIG’s presence and influence in the US, amplifying its scale, reach, and investment portfolio. Furthermore, it has been confirmed that all existing Encova Life policies will seamlessly transition to PALIG, with no alterations to product terms or features for current policyholders.
The successful integration of Encova Life into the Pan-American Life Insurance Group solidifies PALIG’s commitment to expanding its footprint and enhancing its offerings in the dynamic insurance landscape.
José S. Suquet, Chairman of the Board and Chief Executive Officer of PALIG, commented, saying: “We are very pleased to have closed this strategic transaction that complements and strengthens PALIC’s Mutual Trust Life Solutions (MTLS) division.”
He added: “The addition of Encova Life’s business further solidifies PALIC’s market leadership position with increased scale, greater financial strength, a sterling ratings profile, and continued growth in our strategic market segments.”
