Symetra to acquire Dearborn’s group life and disability business
Dearborn Group, one of the nation’s largest ancillary benefits providers, and Symetra, a national provider of life, retirement and employee benefit insurance products, announced a definitive agreement under which Symetra will acquire Dearborn’s group life and disability business through a reinsurance transaction and enter into a product distribution arrangement with Dearborn Group’s parent company, Health Care Service Corporation, a Mutual Legal Reserve Company. The transaction is expected to close in the second half of 2025, pending applicable regulatory approvals and other customary closing conditions.
Under the reinsurance transaction, Symetra will assume Dearborn Group’s L&D business, including group and individual life, accidental death and dismemberment, group short-term and long-term disability, paid family leave and medical leave, and absence management businesses. Upon closing, Symetra and HCSC will enter into an exclusive multi-year distribution agreement during which Symetra’s L&D products will be available to HCSC health care customers.
Following the closing of the transaction, Dearborn Group intends to focus on its large and growing dental, vision and supplemental health product and service lines.
Dearborn Group is a wholly owned subsidiary of HCSC, which serves more than 26 million people across the United States through its health insurance plans. HCSC also offers related health care benefits, capabilities and services through a network of affiliates and subsidiaries.
“This is a significant transaction for Symetra and Dearborn Group, and an important opportunity for our Benefits division. Symetra’s strategic plan envisions opportunities across many parts of our business. Dearborn Group’s well-regarded life and disability business complements our own, allowing us to reach a wider range of employer groups and accelerating the growth of our workforce benefits line. In addition, the distribution agreement with HCSC will significantly broaden the reach of our workforce benefits products. We expect this to be an important growth driver in the years ahead.” – Margaret Meister, President and Chief Executive Officer, Symetra Financial Corporation.
“This agreement further enhances the focus of HCSC and Dearborn Group on expanding access to health care by providing market-leading solutions critical to being the partner of choice for the health benefits and care coordination needs of individuals of all ages and all reimbursement arrangements. Concurrently, the transaction provides our life and disability customers with a partner that will further enhance the value of the services provided to them. We continue to serve our 26 million members and expand access to medical, pharmacy, dental and vision coverage.” – Arun Prasad, Executive Vice President, Chief Strategy Officer and President, Diversified Businesses at HCSC.
