Kansas City Life Insurance Company has sold subsidiary Sunset Life Insurance Company of America to Bona Holdings.
Kansas City Life said the sale is expected to generate a net gain of around $5.5m.
Sunset Life, founded in 1937, was acquired by Kansas City Life in 1974. It operated primarily in the life insurance and annuity market, but ceased writing new business in the early 2000’s.
Kansas City Life reinsured 100% of the outstanding business of Sunset Life on 31 December 2020, and will continue to service all business issued prior to the sale date of 1 November 2021, under the terms of the 31 December 2020 reinsurance agreement.
Robert Philip Bixby, president, chief executive officer and chairman of the board of Kansas City Life, said: “Kansas City Life had a wonderful relationship with Sunset Life and its customers for over 45 years.
“While we are excited to see what Sunset Life’s future opportunities will be under Bona Holdings, we are also pleased to be able to maintain our existing relationships with those customers who joined our enterprise through Sunset Life.
“The sale of Sunset Life will permit Kansas City Life to consolidate corporate resources and to focus on growth and customer service while continuing to provide Security Assured to all of our customers.”