Author: LMI Newsdesk
Charities Aid Foundation Pension Scheme insures pensioner liabilities via a bulk purchase annuity transaction with Just Group.
Seattle-based Sound Retirement Trust and Prudential have completed a $221m group annuity transaction, insuring the retirement benefits of 8,700 retirees.
US life insurance application activity saw declines in August 2024 compared to August 2023, with year-over-year (YOY) activity down -5.0%, according to the latest MIB Life Index. August 2024 saw YOY growth in Term Life (up +6.0%), flat activity in Whole Life (+0.9%), and double-digit declines in Universal Life (down -34.3%). Term Life saw YOY growth for ages 0-50, flat activity for ages 51-70, and double-dight declines for ages 71+. Whole Life saw growth for ages 61+, in the double digits for ages 71+, flat activity for ages 0-30, and declines for ages 31-60. Universal Life saw double-digit declines for…
New research from Legal and General analyses transaction activity in the UK and US pension risk transfer market in 2024 so far.
The Coats UK Pension Scheme has completed a £1.3bn bulk purchase annuity buy-in deal with Pension Insurance Corporation covering the pensions of 18,042 scheme members.
Institutional investment consultant Cambridge Associates is acquiring SIGLO Capital Advisors, a Zurich-based alternative investment specialist.
Kunal Sood, Standard Life Managing Director of Defined Benefit Solutions at UK insurer Standard Life, expects that more than £40bn worth of bulk purchase annuity deals will be completed before the end of 2024, according to a press release issued by the firm. “While the market has been a little quieter so far in 2024, a strong pipeline heading into the rest of the year should mean a strong finish. In light of strong funding levels and attractive insurance pricing, DB pension schemes are increasingly looking for ways to de-risk their liabilities and secure their members’ benefits, with BPA remaining…
Milliman’s latest Milliman Pension Buyout Index (MPBI) shows that during July, the estimated cost to transfer retiree pension risk to an insurer in a competitive bidding process increased more than two percentage points, from 100.3% of a plan’s accounting liabilities (accumulated benefit obligation) to 102.5% of those liabilities. That means the estimated retiree PRT cost is now 102.5% of a plan’s ABO. During the same time period, the average annuity purchase cost across all insurers in our index also increased, from 103.3% to 104.9%. The competitive bidding process is estimated to save plan sponsors about 2.4% of PRT costs as…
The combined reserves of the largest 40 charities in England & Wales that sponsor defined benefit pensions schemes rose to £50bn in 2022, according to Hymans Roberson’s annual report on DB pension funding in the charitable sector. The analysis also shows that there’s been a 20% rise in average funding level of the DB schemes since 2019 driven predominately by falling pension scheme liabilities. This is at a time when charity income is also rising, now exceeding pre-Covid levels. The 2024 report assesses the charities’ DB pensions exposures by looking at reserve levels, income, and DB pension contributions. It shows…
The European Life Settlement Association (ELSA), the European industry group promoting and supporting the life settlement industry, has today published its latest Fact Sheet, The Life Settlement Licence Matrix. The Life Settlement Licence Matrix is designed to provide institutional, end investors with an overview of the current landscape of licensed life settlement providers; the number of them, where they are licensed to operate, and notable changes in the data from the previous year. The Fact Sheet features an updated edition of the Licensed Provider Matrix (LPM), ELSA’s proprietary tool that provides a snapshot of which providers are licensed to operate…