Life Company Consolidation Group to launch UK life biz

clock • 2 min read

The Life Company Consolidation Group, a London-based acquirer of life insurance businesses, has announced that it’s to launch a new UK life insurance company once it has fully acquired and de-mutualised its most recent acquisition, the UK-based Reliance Mutual Insurance Society. 

LCCG said its latest acquisition – its first in the UK – represented “the start of an entirely UK-based business”, which would be focused on acquiring further closed-books-of-life policies in the UK market.

The acquisition was announced in a statement yesterday, which didn’t give the purchase price or other details. The deal is contingent upon members of the mutual society as well as regulators granting their approval, which is expected to take place before the end of the year.

LCCG said the new business it plans to create from its purchase of Reliance Mutual will be run by a separate management team from that which runs what is now known as Utmost Wealth Solutions, the business that it has created out of an Isle of Man-based international life business it  acquired from French insurer AXA last year.

As reported,  LCCG is a Guernsey-registered business with operational offices in Dublin as well, where it is also regulated, and has said its aim is to become  “a leading European mid-market life company consolidator”.  The company is headed up by Paul Thompson and Ian Maidens  (pictured), and operates out of a London head office, with a Guernsey holding company and an operational entity, Harcourt Life Assurance Co, in Dublin.

In all LCCG has acquired seven businesses since it was founded in 2013, including Dublin-based Aviva Life International, which closed its book of business to new customers in 2010, and which LCCG announced it was to buy last May.

LCCG is backed by funds managed by Oaktree Capital Management, a US-based, NYSE-listed investment manager.

Prior to co-founding LCCG with Maidens in 2013, Thompson served as group finance director and later chief executive of Britannic Group, which went on to become a life fund consolidator before merging with Resolution I in 2005. Thompson was named Group CEO of that business, ahead of its 2007 sale to Pearl Group – which changed its name to Phoenix Group in 2010.

Maidens also spent time with Resolution, from its inception in 2003, and became a founding partner of Resolution II in 2008, where he was involved in helping to put together what eventually became known as the Friends Life Group.

The Reliance Mutual Insurance Society is based in Tunbridge Wells, Kent, and dates back to 1911. It has 200,000 policies outstanding at the moment and manages assets of around £1.9bn.

To read an interview with Utmost Wealth Solutions’ CEO Mike Foy on his plans for the former AXA Isle of Man business, click here.