The Standard on April 1 announced the closing of its approximately $2 billion acquisition of Allstate’s Employer Voluntary Benefits business in accordance with the terms of the agreement originally announced on Aug. 13, 2024.
The agreement includes a future distribution partnership through which certain of The Standard’s products and services will be made available to Allstate customers.
“This transaction presented a unique opportunity to accelerate our growth strategy and deliver one of the most comprehensive workplace benefits portfolios in the market,” said Dan McMillan, president and CEO of The Standard. “I look forward to welcoming the Allstate employees and customers to The Standard.”
The transaction combines the deep expertise of two leading workplace benefits providers who share a commitment to customer service. The acquired Allstate Employer Voluntary Benefits business, which is largely comprised of American Heritage Life Insurance Company, will operate under The Standard brand after a period of time. The companies are committed to a seamless transition for clients and partners.
“Allstate’s Employer Voluntary Benefits business provides protection to over 3.5 million customers who will continue to be well served by The Standard,” said Tom Wilson, Chair, President and CEO of The Allstate Corporation, when the deal was originally announced. “The alignment between Allstate’s industry leading product offerings, employer relationships, distribution and talented team and The Standard’s group benefits business will provide customers with broader protection and higher value. Allstate agents will now offer a broader array of options to customers under a five-year exclusive distribution arrangement.”
The Standard, a top group life, disability and ancillary benefit provider based in Portland, Ore., was founded in 1906 and sold its first employee benefits policy in 1951, a case that remains in force today. Allstate’s Employer Voluntary Benefits business is an industry leader in supplemental and voluntary workplace benefits including Whole Life, Universal Life, Accident, Hospital Indemnity, Cancer and Critical Illness coverage.
Under the distribution partnership, The Standard will become Allstate’s exclusive carrier for sales of group life and disability, guaranteed standard issue individual disability, supplemental and voluntary products distributed by Allstate’s exclusive agents. The acquisition provides a trusted group benefits partner for Allstate’s customers.
