In November 2026, Fortitude Re and Unum announced that they had closed their long-term care reinsurance transaction on 3 November, following an agreement announced on 6 July. The block covers about 50,000 individual policies, representing $3.8 billion of statutory reserves and approximately $4.5 billion of best-estimate reserves. The figures measure liabilities on different bases and do not represent the transaction price.

Unum recaptured the policies from its subsidiary Fairwind and reinsured them with Fortitude Reinsurance Company. Fortitude Re says it retroceded all long-term care insurance risk on the block to a highly rated global reinsurer and retained the underlying spread exposure. Unum continues to administer and service the policies.

Follow a claim across the whole chain

For directors, the useful test is how a claim moves from approval and payment to treaty reporting and recovery. Ask who advances the cash, how delays are escalated and whether information reaches each party in time. In a second scenario, examine the impact of financial stress on the organisation retaining spread exposure. Public announcements do not disclose enough to assess collateral or all counterparty safeguards.

Unum says its remaining long-term care portfolio is predominantly group business. The transaction illustrates how an insurer can reshape a legacy individual block while retaining other long-duration risks.

Sources

Unum Group | Initial agreement announced on 6 July 2026 ; Closing statement of 3 November 2026