OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has commented that the Credit Ratings (ratings) of The Nassau Companies of New York, Inc. and its insurance subsidiaries, Nassau Life Insurance Company (New York, NY), Nassau Life and Annuity Company (Hartford, CT) and Nassau Life Insurance Company of Kansas (Overland Park, KS) (collectively referred to as the Nassau Insurance Group [Nassau]), remain unchanged following the Nov. 18, 2022, announcement that Nassau will be acquiring Delaware Life Insurance Company of New York (DLNY), a wholly owned subsidiary of Group 1001 Holdings, LLC. DLNY is a provider of fixed annuities, variable annuities and life insurance products, with 16,000 policies in force and approximately $1.8 billion in assets as of Sept. 30.
This transaction follows several others made by Nassau over the previous couple of years and is in line with their current growth strategy of acquiring small to midsized life/annuity blocks of business, while continuing to grow annuity sales. AM Best notes that while there may be some impact to risk-adjusted capital, Nassau should remain well-capitalized and the acquisition will be accretive to earnings. AM Best expects Nassau to maintain its current business strategy of growing its platform by providing digitally enabled financial services across insurance, reinsurance and asset management segments.
The transaction is expected to close in the second half of 2023 following regulatory approval. Post-transaction, Nassau will oversee approximately $20 billion in assets under management.
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