The Allstate Corporation has finalized the sale of its Employer Voluntary Benefits business to StanCorp Financial Group, Inc. (The Standard) for $2 billion. This strategic move is aimed at enriching Allstate's growth prospects and creating additional value for its shareholders, according to Tom Wilson, the company's Chair, President, and CEO. Wilson stated that this sale, along with an impending sale of its Group Health business, is projected to yield a total of $3.25 billion in 2025.
The transaction also comes with a financial gain of approximately $625 million, as explained by Allstate’s CFO, Jess Merten. He noted that the proceeds would support Allstate’s capital management and its newly announced share repurchase program.
Allstate Corporation, known for its “You’re in Good Hands with Allstate” slogan, provides various insurance and protection products through multiple distribution channels. Financial updates about the company are available on their investor relations website.
The Standard, a longstanding provider of financial protection products, offers a range of services including disability, life, and dental insurance, as well as retirement plans.