Cigna Sells Group Disability Businesses to New York Life
Cigna has now sold its group life, accident, and disability insurance business to New York Life in a $6.3 billion deal, initially announced in December 2019. The new business has been rebranded as New York Life Group Benefit Solutions.
This acquisition adds approximately 3,000 employees and over 9 million customers for New York Life, making it one of the top five insurers across group life, accident, and disability insurance.
Cigna will put the sales proceeds towards repayment of debt and share repurchase, and both companies will participate in a multi-year collaboration.
Sources:
Mallory Hackett, Cigna officially sells group life, accident and disability insurance business to New York Life, Healthcare Finance, Jan. 4, 2021
New York Life Completes Acquisition of Cigna’s Group Life and Disability Insurance Business, Businesswire, Dec. 31, 2020
Anusuya Lahiri, New York Life Snaps Up Group Life & Disability Insurance Business From Cigna For $6.3B, Nasdaq, Jan. 3, 2021
