MetLife to Combine Businesses into One U.S. Group Due to Changing Market

MetLife (NYSE: MET), the largest U.S. life insurer, said the changes, which resulted from a strategic review it launched two years ago, will take effect Aug. 1. The integration of the businesses will be completed in 2010.

"Our institutional and individual businesses have always been complementary, but by bringing them together we will increase our speed in delivering new products and solutions to the market, better leverage our distribution channels, enhance efficiencies, and expand services to our customers," C. Robert Henrikson, chairman, president & chief executive officer of the New York-based MetLife, said in a statement.

With the move, William J. Mullaney, president of MetLife's institutional business since January 2007, was named president of the new U.S. business group. Previously, he served as president of MetLife Auto & Home. Mullaney also was responsible for MetLife's voluntary benefits business.

The company can better serve sponsors of employee benefit plans and individual customers "through a single, integrated organization," Henrikson said. "Employers are increasingly shifting decision making about personal financial and retirement planning to employees," he added.

On the morning of July 15, MetLife's stock was trading at $29.92 a share, up 2.19% from the previous close.

Metropolitan Life Insurance Co. currently has a Best Financial Strength Rating of A+ (Superior).

(By Fran Matso Lysiak, senior associate editor, BestWeek: fran.lysiak@ambest.com)