MetLife announced that its subsidiary, Metropolitan Tower Life Insurance, has entered into an agreement with 3M to provide annuity benefits to approximately 23,000 retirees and beneficiaries of the 3M Employee Retirement Income Plan.

According to a press release, this agreement covers pension obligations totaling approximately $2.5 billion.

In June 2024, Metropolitan Tower Life Insurance issued a group annuity contract as part of the deal. The amounts of monthly retirement benefits for the Foundation’s retirees, their spouses and beneficiaries will remain unchanged.

Metropolitan Tower Life Insurance Company will be responsible for making these monthly payments, replacing the plan. The company explained that no action is required on the part of retirees or beneficiaries, and that both 3M and Metropolitan Tower Life will communicate details to affected participants and beneficiaries regarding their ongoing payments.

Melissa Moore, Senior Vice President and Head of Annuities at MetLife, highlighted the importance of this agreement for 3M beneficiaries.

“MetLife helped pave the way for today’s pension risk transfer market more than 100 years ago, and remains deeply committed to this work, leveraging our expertise in managing risk across a wide range of economic scenarios to remain an industry leader,” Moore said.

In other MetLife news…

Elsewhere at MetLife, sources recently revealed that the company is seeking to acquire Hayfin Capital Management, the private credit firm that began exploring a sale last year.

The insurance giant is in talks for a deal that could value the London-based direct lender at more than 1.2 billion euros ($1.3 billion), said the people, who requested anonymity to discuss private information. Discussions are ongoing and may not ultimately lead to an agreement.

What do you think of this story? Feel free to share your comments below.