Goldman Sachs and Talcott Financial Group have launched West Grove Re, a Bermuda-based reinsurance sidecar vehicle that has pulled in roughly $1 billion in capital commitments. The vehicle will take on a share of premiums and losses from Talcott’s US annuities book, with Goldman Sachs Asset Management running the private-asset investment strategies underneath it.
Why this deal matters beyond insurance
West Grove Re also lands just days after Talcott announced a separate $6.3 billion reinsurance transaction with Lincoln Financial on July 30. That deal involved Talcott assuming a massive block of Lincoln’s annuity liabilities, a move that signals Talcott is aggressively scaling its reinsurance capabilities. The $1 billion sidecar with Goldman effectively gives Talcott a fresh pool of third-party capital to support that expansion without loading up its own balance sheet.
The Goldman-Talcott connection runs deep
Talcott Financial Group traces its lineage back to Global Atlantic Financial Group, which itself originated from Goldman Sachs.
