Unity Life of Canada has agreed to acquire Forethought Life Insurance Co, the insurance operations of Indianapolis-based Forethought Financial Group Inc.’s Canadian branch, the companies announced today.

Forethought is a provider of insurance and financial solutions related to retirement and end of life expenses. Under the agreement, which is subject to regulatory approval, Mississauga, Ont.-based Unity Life will acquire Forethought’s Canadian block of approximately 20,000 funeral funding insurance policies, including policy liabilities of approximately $90.6 million and related assets.

This adds to Unity Life’s current assets of $562 million, more than 192,000 active policies and certificates and $13.8 billion of insurance in force.

It is anticipated that the transaction will be completed on Dec. 31. Following its completion, Forethought will close its Canadian branch and Unity Life will continue to serve Forethought’s Canadian policyholders and provide them with their contracted benefits and services

The value of the transaction was not disclosed.

The acquisition by Unity Life, which is owned by Foresters, is part of the company’s growth strategy of targeting blocks of business that complement its market and area of expertise, president and CEO Tony Poole said in a statement. It follows the company’s Sept. 25th announcement that it would acquire the business segment of GeniSys Management Solutions that performs business process outsourcing.

“This addition will further strengthen Unity Life’s asset base and aligns well with our existing insurance portfolio of specialty products,” Poole said. He added that it is “part of Unity Life’s strategy to generate ongoing enhancements in service quality and cost efficiencies.”

“Unity Life’s complementary culture, exceptional service infrastructure, and vision will ensure that our Canadian policyholders have a secure home for their pre-need insurance protection,” commented John Graf, president, chairman and CEO of Forethought.

IE