JPMorgan Agrees to Sell Unit to Protective Life

JPMorgan Chase & Co. agreed to sell Chase Insurance Group to Protective Life Corp. for $1.2 billion in cash, following rival Citigroup Inc. out of underwriting life insurance.

The sale frees JPMorgan Chief Executive Jamie Dimon from dedicating capital to a division the bank gained in its 2004 purchase of Bank One Corp. Dimon is trying to cut $3 billion in costs and boost returns that lag behind those of Citigroup and Bank of America Corp., the two biggest U.S. banks.

Protective Life shares rose $3.46 to a record $49.01. JPMorgan Chase rose 34 cents to $39.60.