GE Capital, the finance arm of General Electric Co., will buy The Life Insurance Co. of Virginia from its parent for $960 million, the companies said Tuesday.
The insurance company, now owned by Chicago-based Aon Corp., will become a subsidiary of GNA Corp., which is owned by GE Capital of Stamford, Conn. The deal is expected to be completed in the first half of 1996, after regulatory approvals.
The purchase of the Richmond, Va.-based insurer would add about $9 billion in assets to GNA, bringing its total assets to $30 billion.
Aon is a Chicago-based holding company that handles insurance brokering, consulting and underwriting. GE Capital’s GNA unit, based in Seattle, markets annuities, insurance and mutual funds.