Dutch Insurer Aegon NV, confirmed reports that as part of an ongoing restructuring, it will cut approximately 5% of its workforce , or approximately 400-500 jobs in the U.S. over the coming two years. The action will result in $70 million annual cost-savings.

Aegon is also restructuring its operations in the U.K., and hopes to cut costs by at least 25% by end of 2011.

The latest U.S. move is the result of the insurer’s desire to stop selling new executive non-qualified benefit plans. It will also discontinue a related life insurance business. Aegon plans to take $290 million in writedowns including $80 million in restructuring charges and an additional write-off of goodwill and intangible assets of $210 million.

The largest number of job cuts will occur in Dallas, but Aegon also confirmed its intention to move its break up operations in its Louisville, Ky., office and move them to other areas within the U.S., and will outsource some of its back-office functions currently underway in Cedar Rapids, Iowa.

Thanks to support from the Dutch state, Aegon endured the 2008 financial crisis, and last month reported third quarter net profit of $907 million. The insurer, which acquired Transamerica in the United States in 1999, counts approximately two-thirdsof its operations here. The company is also selling its Transamerica Re reinsurance operations.