Longevity risk transfer news

Lloyds Banking Group Pensions Trustees Limited has completed three new longevity swap transactions with Rothesay Life Plc, covering £4.8 billion of liabilities, with reinsurance capacity to support the deals concurrently provided by major global reinsurers and an insurance subsidiary of US-based Prudential Financial, Inc.

The BBC Pension Scheme has continued to offload the risk of its members living longer than anticipated, transferring a further UK £6 billion of risk through a new longevity swap arrangement with the help of global insurance firm Zurich and reinsurance capacity from MetLife.

NN Life & Pensions, part of the Nationale-Nederlanden (NN Group), has entered into a new longevity swap and reinsurance arrangement with Prudential Financial Inc., that will see the group transferring a further €4 billion of longevity risk.

MetLife has effectively provided reinsurance capacity, while Zurich has acted as intermediary insurer, for a UK £340 million pension longevity swap for the Airways Pension Scheme.

The £1 billion UK Merchant Navy Ratings Pension Fund has secured a longevity swap arrangement to cover liabilities amounting to £450 million, with the assistance of broker WTW and reinsurance capacity from MetLife.

NN Group has announced the successful transfer of €13 billion in longevity risk associated with pension liabilities in the Netherlands to an insurance subsidiary of Prudential Financial, Inc. and global reinsurance specialist Swiss Re.

The MMC UK Pension Fund has entered into a £2 billion longevity swap and reinsurance arrangement with Munich Re, its first swap to include active members, via a captive Guernsey insurance cell.

The BT Pension Scheme has entered into a UK £5 billion longevity swap arrangement with Reinsurance Group of America (RGA Re), using its captive insurer to intermediate the reinsurance capital.

Zurich and Prudential Financial, Inc. have combined to deliver a £1.7 billion pension longevity swap and reinsurance risk transfer arrangement for the UK’s Nationwide Pension Fund.

Global insurer Zurich and life, longevity and annuity focused reinsurance firm Pacific Life Re have delivered a £1.6 billion longevity swap arrangement for the UK’s Yorkshire and Clydesdale Bank (YCB) Pension Scheme.