MetLife to Provide Annuity Benefits for 3M Retirees and Beneficiaries, Obligations Total More Than $2 Billion

MetLife, one of the leading insurance companies, has recently announced a significant agreement with 3M to provide annuity benefits to approximately 23,000 retirees and beneficiaries of the 3M Employee Retirement Income Plan. This agreement covers pension obligations totaling approximately $2.5 billion, showcasing the scale and importance of this partnership.

In June 2024, Metropolitan Tower Life insurance Company, a subsidiary of MetLife, issued a group annuity contract as part of the transaction. The monthly pension benefit amounts for the retirees, their spouses, and beneficiaries will remain unchanged, ensuring a smooth transition for the recipients. Metropolitan Tower Life insurance Company will now take over the responsibility of making these monthly payments, replacing the Plan. The company has assured that no action is required from retirees or beneficiaries, and both 3M and Metropolitan Tower Life will communicate the details to the affected participants and beneficiaries regarding their ongoing payments.

Melissa Moore, senior vice president and head of Annuities at MetLife, emphasized the significance of this agreement for 3M’s beneficiaries. She stated, “MetLife helped pave the way for today’s pension risk transfer market more than 100 years ago and continues to be firmly committed to this business, leveraging our expertise at managing risk across a wide range of economic scenarios to remain an industry leader.”

In other news for MetLife, sources have revealed that the company is in talks to acquire Hayfin Capital Management, a private credit specialist based in London. The potential deal could value Hayfin at more than 1.2 billion euros ($1.3 billion), highlighting MetLife’s strategic growth plans in the financial services sector. While the discussions are ongoing and may not ultimately lead to a deal, this move signals MetLife’s interest in expanding its portfolio and capabilities in the market.

Overall, MetLife’s agreement with 3M to provide annuity benefits for retirees and beneficiaries underscores the company’s commitment to supporting individuals in their retirement years. With a strong track record in managing risk and a focus on industry leadership, MetLife continues to make significant strides in the insurance and financial services sector. Stay tuned for more updates on this developing story and MetLife’s potential acquisition of Hayfin Capital Management.