Partnership Approach Brings Success for GFS in the Netherlands
In 2021, years of working with our Dutch insurance company partners paid off. The GFS EMEA and RGA Netherlands teams, working seamlessly together, executed three large longevity transactions, covering more than €14 billion in underlying reserves.
RGA’s Global Financial Solutions (GFS) team doesn’t just make deals; we build partnerships. Our business focuses on large, complex financial transactions that require a long-term commitment to our clients and to the market. Such transactions do not happen overnight, but demand months and often years of working closely with clients to understand their unique challenges and then leveraging our deep experience and expertise to create the best possible solutions.
In 2021, years of working with our Dutch insurance company partners paid off. The GFS EMEA and RGA Netherlands teams, working seamlessly together, executed three large longevity transactions, covering more than €14 billion in underlying reserves. This remarkable success came about due to three primary factors: a long-term commitment to the Dutch market, established longevity expertise developed globally, and the execution certainty RGA brings to every transaction.
RGA has enjoyed a strong local presence in the Netherlands for more than a decade. In that time, we have formed a talented, dedicated team with a detailed understanding of the market, the underlying liabilities, and the regulatory landscape. We bring a deep knowledge of the challenges our Dutch clients face so we can anticipate their capital optimization needs. Perhaps most importantly, we have developed close relationships with insurers in the Netherlands and become trusted partners.
RGA executed its first longevity transaction in the U.K. in 2008 and has since leveraged established longevity expertise in markets in Europe and North America. The GFS team completed its first longevity transaction in the Netherlands in 2014, but opportunities remained limited in the years that followed. The market opened up for RGA in 2021 and could offer more opportunities moving forward. The new national pension agreement, now being implemented after 10 years of development, could trigger more pension buy-outs as companies seek to transfer closed blocks of pension liabilities to insurers. RGA sees the market potential and is investing resources in the Netherlands to serve our clients as the business environment evolves.
In addition to local knowledge and longevity expertise, what truly differentiates RGA is our ability to do what it takes to deliver a solution. When issues come up in the course of executing a transaction, from simple contract wording changes to incorporating more complex features, we work to accommodate our clients’ needs. Most importantly, RGA is a reliable counterparty. We align ourselves with our clients’ long-term strategy and stand by our commitments to our partners.
After an exceptional year in 2021, the GFS team in the Netherlands and around the world is well-positioned to build on our success in the years to come.