Great-West Life & Annuity Insurance is the southern arm of a northern parent. The company, a subsidiary of Canada's Great-West Lifeco and a member of the Power Financial family, represents the Great-West group's primary US operations. It offers life insurance and annuities to individuals and employer groups. Under the Great-West Retirement Services brand, it administers employer-sponsored retirement products including defined-benefit pension and 401(k) plans. Additional Great-West services include investment consulting and fund management. Great-West Life & Annuity markets products through its sales representatives and regional offices, as well as independent brokers.
Great-West Life & Annuity also distributes its individual life insurance and annuity products through partnerships with banking institutions and financial advisors including Bank of America, Citigroup, and Charles Schwab. Outside of its own retirement products, which are marketed to corporate, not-for-profit, health care, educational, and government organizations, the Great-West Retirement Services unit provides business services including record-keeping for plans offered by other financial institutions. Its recordkeeping subsidiary, FASCore, LLC, serves 4.7 million participant accounts. Great-West Life & Annuity's Individual Markets Division offers individual retirement accounts (IRAs), individual term and single-premium life insurance, individual annuity products, as well as executive benefits and business-owned life insurance products.
In 2012 the company had 540,000 individual accounts and had $201.5 billion in assets under administration.
Great-West Life & Annuity has offices in more than 50 locations throughout the US, Puerto Rico, Guam, and the US Virgin Islands.
Sales and Marketing
Great-West Life & Annuity markets its products and services through sales and service professionals, brokers, consultants, advisors, financial institutions, and third-party administrators.
Great-West Life & Annuity's revenues grew by 3% in 2012 thanks to its portfolio of diverse products, expanded partnerships, and enhanced tools. IRA sales grew 50% as part of a push to provide enhanced distribution education services to terminated group plan participants. This initiative gained $916 million in roll-ins to existing plans.
The company's net income jumped by 18% in 2012 thanks to higher revenues and a drop in expenses.
Growing it product portfolio, in 2012 the company launched two retail retirement income products, securing selling agreements with five distribution partners.
In 2008 the company sold its Great-West Healthcare division to CIGNA for $1.5 billion; the segment offered group life and medical insurance products to US businesses, with an emphasis on self-funded programs for small and midsized employers. The divestiture of its health care unit was part of Great-West's strategy of focusing its efforts in the financial services arena.