MetLife to Provide Annuity Benefits to a Portion of 3M Retirees and Beneficiaries
~ Pension risk transfer agreement covers approximately $2.5 billion in pension obligations ~
NEW YORK, June 13, 2024
MetLife, Inc. (MetLife) announced today that its subsidiary, Metropolitan Tower Life Insurance Company, has entered into an agreement with 3M to provide annuity benefits to approximately 23,000 retirees and beneficiaries in the 3M Employee Retirement Income Plan (Plan), the company's U.S. defined benefit (DB) pension plan, representing pension obligations of approximately $2.5 billion.
"MetLife is pleased we were entrusted to provide guaranteed lifetime income to 3M retirees, as well as benefits to the retirees' spouses and beneficiaries," says Melissa Moore, senior vice president and head of Annuities at MetLife. "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."
A group annuity contract was purchased from Metropolitan Tower Life Insurance Company in June 2024. The transaction will not change the amount of the monthly pension benefit received by the corporation's retirees, retirees' spouses and beneficiaries. Metropolitan Tower Life Insurance Company, rather than the Plan, will be responsible for making these monthly payments. No action is needed by retirees or beneficiaries. 3M and Metropolitan Tower Life will provide details to retired participants and beneficiaries whose ongoing payments will be made by Metropolitan Tower Life Insurance Company.