Adds comments from Viridum

ZURICH, Jan 30 (Reuters) - Zurich Insurance ZURN.S on Tuesday said its plan to offload its $20 billion Zurich Life Legacy back book in Germany to Viridium has fallen through after the insurance consolidator pulled out of the deal.

The Swiss insurance group said it was committed to finding a solution for the portfolio, which administers around 700,000 life insurance policies in Germany, and would continue to explore options.

The failure to offload the business would have no impact on Zurich's financial targets or capital management plans, it added.

The company declined to comment on potential legal action against Viridium or what other bidders could be identified.

Zurich announced a deal in June 2022 to sell its legacy traditional life insurance back book to Viridium, a German life insurance specialist.

The deal was intended to reduce capital intensity at Zurich and the company's exposure to interest rates.

It included the transfer of $20 billion of net reserves, mainly related to annuity and endowment products, Zurich said in 2022.

Zurich's update came in response to a statement from Viridum which said the deal would not conclude "due to considerations relating to Viridium's current ownership structure".

"We regret this as the transaction would offer clear benefits for customers," Viridium said on Tuesday.

(Reporting by John Revill, Editing by Rachel More)

((John.Revill@thomsonreuters.com; +41 41 528 36 37; Reuters Messaging: john.revill.thomsonreuters.com@reuters.net))