Dover – Delaware Insurance Commissioner Karen Weldin Stewart announced today that she has approved the application by MetLife Inc. to acquire American Life Insurance Company (“ALICO”) and Delaware American Life Insurance Company (“DELAM”).  When the transaction closes later this year, ALICO and DELAM will be sold to MetLife as part of the restructuring of American International Group, Inc. (“AIG”).  The transaction, valued at over $15 Billion, first required approval of the Delaware Department of Insurance, the primary United States regulator of ALICO and DELAM.  ALICO and DELAM maintain their operations center in Wilmington where they employ approximately 450 people. In addition to Delaware, the transaction will require the approval of thirteen additional states, the United States Government and 35 foreign countries, many of whose regulators have been looking first to Commissioner Stewart and her Department to carefully examine this transaction and to advise them of whether it is in the best interests of their policyholders, employees and their public.

In announcing her decision, Commissioner Stewart said, “After a full review of the record, I am satisfied that this transition will be seamless and beneficial for the policyholders.  I am also thankful that MetLife has agreed to retain the operational presence in Wilmington, Delaware preserving jobs for Delawareans.”

ALICO does not have any United States’ policyholders; however, it is one of the world’s largest and most diversified life insurance companies with subsidiaries and branches in over 50 countries. DELAM writes group insurance business which cover the employees of United States employers who are working outside the United States.  Of those jurisdictions, Delaware, as the lead United State’s regulator, is the only department to have subjected the transaction to the scrutiny of a public hearing.   Commissioner Stewart added, “I am proud of the Department’s thorough scrutiny of this transaction resulting in the meticulous evaluation necessary to assure that the policyholders of ALICO and DELAM, although not residents of Delaware, will be protected by MetLife’s ownership.”   Commissioner Stewart’s approval included certain ongoing conditions to assure that the Delaware Department retains its vigilance over any changes which may flow from the transaction to assure they benefit all stakeholders.

 

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Contacts:
Elliott Jacobson (302) 674-7303; (202) 294-3266 cell
Michael Gould (302) 674-7304