The SEC says the insurer failed to maintain a sufficient system of internal controls, resulting in an improper release of annuity reserves.
The company agreed to pay $1 million to resolve accusations related to its pension risk transfer business.
Securities and Exchange Commission, Metlife, Mosaic, Exelon, Dine Brands, Allison Transmission, Zillow, HighPoint Resources, West, Blue Apron
The $6 billion deal could be a harbinger of more such asset de-risking moves by other defined-benefit plan sponsors.
MetLife, Honeywell, CVR Energy, Extended Stay America, Papa John's, Peloton, LGS Innovations, Enphase Energy, Conifer Health, Emergent BioSolution
The insurer says it underestimated its group annuity reserves because of "a material weakness in internal control over financial reporting.”
The deal comes as insurers are buying pension plans at a record rate.
The sector's increased contribution to systemic risk necessitates a "more macroprudential approach" to regulating it, the IMF says.
MetLife's victory in a legal battle with regulators could encourage other institutions to challenge the "systemically important" designation.
MetLife's "bold move" could set a precedent for other "systemically important" insurers seeking to avoid higher capital requirements.
The insurer says an internal review determined it had incorrectly stated its combined risk-based capital ratio.
The company says federal regulators erred in giving it the "systemically important" designation, which would subject it to stricter oversight.
