(800) 356.9601
INDEPENDENCE HOLDING COMPANY 96 CUMMINGS POINT ROAD
STAMFORD, CONNECTICUT 06902
NYSE: IHC
CONTACT: TERESA A. HERBERT
203-358-8000
STAMFORD, CONNECTICUT 06902
NYSE: IHC
CONTACT: TERESA A. HERBERT
203-358-8000
STAMFORD, Conn., Jun 09, 2005 (BUSINESS WIRE) -- Independence Holding Company (NYSE: IHC) today announced today that Madison National Life Insurance Company, Inc. has entered into an agreement to acquire a block of life insurance policies with approximately $105 million of reserves. This block consists of approximately $70 million of old traditional life reserves and approximately $35 million of universal life and interest sensitive life reserves. Madison National Life will be adding about 50,000 policyholders with this acquisition. Closing of this transaction is anticipated to occur next week.
Roy T.K. Thung, Chief Executive Officer, commented "We are delighted that we were successful in closing this significant block acquisition, which will be immediately accretive to earnings. It also represents a milestone for IHC in that we now have assets well in excess of $1 billion. We are continuing to evaluate other acquisitions and hope to close on additional opportunities this year."
IHC is a holding company principally engaged in the life and health insurance business and the acquisition of blocks of policies through its insurance company subsidiaries (Standard Security Life Insurance Company of New York and Madison National Life Insurance Company, Inc.), its affiliate (American Independence Corp. (NASDAQ: AMIC), and its managing general underwriters, third party administrators, and marketing affiliates. Standard Security Life markets medical stop-loss, long-term and short-term disability, employer-sponsored group major medical, short-term medical, group life and managed health care products. Madison Life sells group life and disability, employer medical stop-loss, employer-sponsored group major medical, credit life and disability and individual life insurance. AMIC is a holding company principally engaged in the insurance and reinsurance business through Independence American Insurance Company and its managing general underwriter division.
Some of the statements included herein may be considered to be forward looking statements which are subject to certain risks and uncertainties. Factors which could cause the actual results to differ materially from those suggested by such statements are described from time to time in IHC's filings with the Securities and Exchange Commission.