Principal Life Insurance Company sits within a franchise that began in 1879 in Des Moines, Iowa, when a group of bankers formed the Bankers Life Association to provide life insurance protection for their customers and families.[1][2] Over the following decades the organization broadened from that original niche into a diversified financial group, reflecting how life insurers often leveraged long-duration liabilities into adjacent retirement and investment services.[1] California Department of Insurance records capture its legacy legal names and the evolution to the modern Principal Life identity, underscoring a pattern of rebranding as products and distribution expanded.[2] Principal's growth strategy has long emphasized workplace and institutional channels alongside traditional individual life. As pensions shifted toward defined-contribution retirement plans in the late 20th century, insurers with strong group capabilities found opportunity in retirement administration and employee benefits.[1] That, in turn, influenced product design: protection products paired with retirement accumulation and income planning. Economic cycles repeatedly tested the model. The Great Depression, post-war inflation, and the low-rate environment after 2008 all pressured spread-based products, requiring repricing and tighter asset-liability management. Like most large insurers, Principal uses reinsurance as part of risk management, though high-level history materials focus on business evolution rather than naming counterparties.[1] The throughline is adaptability: moving from a banker-focused origin into a modern insurer and retirement-services platform while maintaining a core identity in long-term protection.[1][2]
The following timeline details significant changes, name changes, and major acquisitions for Principal Life Insurance Company and its parent organization, Principal Financial Group.
- 1879: Founded as The Bankers Life Association in Des Moines, Iowa, by Edward Temple. It originally operated as a mutual aid association offering low-cost life insurance to bankers.
- 1911: Structure Change: The company reorganized from an assessment association into a mutual legal reserve company and changed its name to Bankers Life Company.
- 1925: Acquisition: Acquired the WHO radio station in Des Moines to use as a marketing tool (sold in 1930).
- 1941: Product Expansion: Issued its first group health insurance contract, moving beyond individual life insurance.
- 1985: Name Change (Brand): The company officially rebranded its marketing identity to Principal Financial Group to reflect its expansion into broader financial services.
- 1986: Name Change (Legal): The legal name of the company was changed from Bankers Life Company to Principal Mutual Life Insurance Company.
- 1990: Expansion: Launched Principal International to expand operations into global markets, including establishing a presence in Mexico, Chile, and other countries over the following decade.
- 1998: Structure Change & Name Change: The company reorganized into a mutual holding company structure. Principal Mutual Life Insurance Company became a stock subsidiary and was renamed Principal Life Insurance Company.
- 2001: IPO & Demutualization: The company completed its demutualization and initial public offering (IPO), becoming a publicly traded corporation under the name Principal Financial Group, Inc. (NYSE: PFG).
- 2006: Expansion: Established Principal Global Services in Pune, India, to support global operations.
- 2012: Acquisition: Acquired AFP Cuprum, a leading pension fund manager in Chile, for approximately $1.5 billion.
- 2012: Acquisition: Acquired a majority stake in Claritas, a wealth management firm in Brazil (full ownership acquired later).
- 2015: Acquisition: Acquired the AXA Mandatory Provident Fund (MPF) and Occupational Retirement Schemes Ordinance (ORSO) pension business in Hong Kong for approximately $335 million.
- 2018: Acquisition: Acquired MetLife Afore, the pension fund management business of MetLife in Mexico, becoming the fifth-largest pension provider in the country.
- 2018: Acquisition: Acquired RobustWealth, a digital wealth management platform (fintech) to enhance advisory capabilities.
- 2018: Merger/Joint Venture: Increased ownership stake to 60% in its joint ventures with CIMB Group in Southeast Asia (Malaysia, Thailand, Singapore, Indonesia), consolidating them under Principal's management.
- 2019: Major Acquisition: Acquired Wells Fargo’s Institutional Retirement and Trust business for $1.2 billion, significantly expanding its 401(k) and pension servicing scale in the U.S.
- 2022: Rebrand: Relaunched its global asset management arm, previously known as Principal Global Investors, as Principal Asset Management.
- 2024: Acquisition: Agreed to acquire the Employee Stock Ownership Plan (ESOP) business of Ascensus, further solidifying its leadership in the ESOP market.
Sources: [1] https://www.principal.com/about-us/our-story/history (Principal - History) ; [2] https://interactive.web.insurance.ca.gov/companyprofile/companyprofile?doFunction=getCompanyProfile&event=companyProfile&naic=61271 (CA Dept. of Insurance - Company Profile (NAIC 61271))
