UnumProvident Corp. said it will unwind a 1996 finite risk transaction between Unum Life Insurance Co. of America and Bermuda-based Centre Life Reinsurance Ltd.

A Unum spokesman told Business Insurance's website that the move, under which the Chattanooga, Tennessee-based insurer will recapture a closed book of individual income protection business, was not prompted by any regulatory urging.

"We've been in discussion with Centre for some time to recapture this agreement ? because it makes business sense today for us to do it," said a spokesman.

Centre Life is part of Zurich Financial Services Group.

The business Unum will take back on its books includes about $1.6 billion in invested assets and $185 million of annual premiums. The insurer said it expects the move to have a minimal impact because it already provides claims and service administration on these policies.