Author: LMI Newsdesk
The European Life Settlement Association (ELSA) recently elected 3 new members to its Executive Board during the ELSA Annual General Meeting (AGM) on Monday, September 11th. Their terms will officially begin on January 1st, 2024. The newly appointed board members are Chris Conway of ISC Services, Hanna Persson of Ress Capital and Jule Rousseau of ArentFox Schiff. ELSA’s Executive Director, Chris Wells, expressed his enthusiasm for the new board members and their potential contributions. “We are delighted to welcome Chris, Hanna, and Jule to our Executive Board. Their expertise will strengthen ELSA’s position as a leading voice in the European…
Prudential Financial and private equity firm Warburg Pincus have launched Prismic Life Reinsurance company in Bermuda, in conjunction with a group of investors, in order to target the structured settlement annuity market. Prismic Life is a licensed Class E reinsurer and, in a press release announcing the move, Prudential said that it expects to reinsure blocks of structured settlement annuity contracts against roughly $10bn of capital reserves. The New Jersey-based insurers said that Prismic is intended to be a strategic reinsurance partner for the firm and PGIM and Warburg Pincus will provide asset management services to the reinsurer. The company…
The Ford Pension Scheme for Senior Staff has agreed a £340m ($450m) partial scheme buy-in with insurer Scottish Widows. This deal still leaves significant pension liabilities on the table for the US auto manufacturer which has more than 120 schemes spread across 36 different countries. Edinburgh-based Scottish Widows has been an active player in the UK pension de-risking market in 2022. In June it struck a $650m deal with the pension scheme of high end retailer Harrods, while in the same month it took on $200m worth of pension liabilities from fellow insurer Aegon UK as part of a broader…
The Life Insurance Settlement Association’s (LISA) 28th Annual Fall Life Settlement Conference will bring together leading experts from across the life settlement industry
US aerospace and defence firm AAR CORP has terminated its pension plan and transferred all its obligations to a pair of life carriers: American National Insurance Company and American National Life Insurance Company of New York.The deal closed on August 22 and was announced when the firm made an 8K filing with the US Securities and Exchange Commission. According to the filing, the AAR Corp Retirement Plan has bought a single premium group annuity contract that transfers all the pension scheme’s obligations to the two insurers.The deal covers 900 plan members, plus their beneficiaries, of the Illinois-based firm and will…
The ITB Pension Funds’ Open Fund has signed a $330m (£290m) buy-in deal with UK retirement specialist Just Group, which means that all members’ benefits have now been insured. This is the fifth and final transaction the ITB fund has conducted and, in a press release announcing the move, LCP ‑ who advised on the deal ‑ said that the timing had been accelerated following a recent material improvement in the scheme’s funding position. The ITB Pension Fund was set-up in 1983 and provides retirement benefits to members of the Construction Industry Training Board. Just Group has been active in…
The pension scheme of UK ferry operator P&O has completed a £440m ($560m) buy-in with specialist insurer Rothesay which means that all member benefits are now insured. This is the second such buy-in deal conducted by the P&O pension scheme; the first was in 2007, with the now defunct buy-in firm Paternoster, which Rothesay acquired as part of its purchase of the insurer in 2011. The latest buy-in secures the benefits of 5,300 members and was agreed in August. It is the second deal announced by Rothesay in August and follows a $330m buy-in with the Smith & Nephew UK…
The Canadian pension risk transfer market (PRT) saw a record level of activity in 2022, with a total of 155 deals worth a combined C$7.8bn ($5.8bn) struck last year, according to a recent report by Eckler’s, actuarial consultancy. According to the Ontario-based Eckler’s sixth annual report on the Canadian PRT market, this followed a record level of activity in 2021, with both years well ahead of the C$4.5bn worth of deals transacted in 2020. Eckler’s report said that Sun Life is the market leader with a 27% market share of the Canadian PRT sector in 2022, and the insurer currently has 120,000…
UK pension risk transfer specialist (PRT) Rothesay has signed a £260m ($330m) buy-in deal with the UK pension fund of Smith & Nephew.The multinational medical device manufacturer has now completely insured all of its members benefits following a series of previous deals inked with Rothesay in 2013, 2017 and 2022, respectively.The latest tranche of the pension fund’s de-risking process sees close to 1,900 pensioners and dependents, plus 2,315 deferred members’ liabilities, transferred to the UK insurer.LCP acted for the trustee as the lead broker on the transaction. Eversheds Sutherland and DLA Piper provided legal advice to Rothesay, and Travers Smith…
US clean energy firm Public Service Enterprise Group has completed a $1bn pension ‘lift out’ with the Prudential Insurance Company of America (Prudential Financial). The New York state-based renewables outfit made the deal public in its second quarter results when it stated that the pension benefits of 2,000 retirees from its PSEG Power & Other subsidiary would be insured as a result of the transaction. A ‘lift-out’ refers to the partial insurance of a scheme rather than a complete buy-in or plan termination. According to the press release, Prudential Financial will take over all pension payments by the end of…