T&D's Taiyo Life reinsures $43m block of policies

T&D Holdings announced that its subsidiary, Taiyo Life Insurance, will reinsure a portion of its existing portfolio of lifetime dementia and long-term care annuity policies. The transaction, structured as a co-insurance agreement, involves approximately ¥657.0 billion (approximately $43M USD) in reserves and ¥661.0 billion in premiums. Taiyo Life expects to finalize the agreement by the end of March 2025. This move is designed to mitigate potential future cash flow mismatches and ensure stable returns for policyholders. While a one-time loss will be recorded in the fiscal year ending March 2025, the company anticipates a positive impact on core profits from the fiscal year ending March 2026. T&D Holdings affirmed that this reinsurance arrangement will not affect the terms of existing policyholder agreements.