Pension Corp. urges British government to issue longevity bonds


Here’s some interesting reading for a Monday morning. Pension Corporation has joined the Pension Institute (who asked this question previously) in urging the British government to issue longevity linked bonds to help pension schemes and insurers manage the risks associated with increasing life expectancy of the British population.

The fact that the population are living for an increasing long time means that pension providers and insurance companies are paying out much more than they ever expected when they took on the risks.

Pension Corp. say that if the government issues longevity linked bonds it would help to stimulate a trading market in longevity risk. It would also serve to lower the credit risk associated with such deals.

The government has said before that they have no plans to issue such bonds. It would be interesting if they did though as it could open this market up significantly and make it much more attractive to investors and issuers alike.

coronavirus-cat-bond-chinaRead all of our Covid-19 coronavirus pandemic related news, analysis and information of relevance to the insurance-linked securities (ILS), catastrophe bond and reinsurance capital markets.

Read Covid-19 coronavirus related news & analysis here.

Print Friendly, PDF & Email

Artemis Newsletters and Email Alerts

Receive a regular weekly email newsletter update containing all the top news stories, deals and event information

  • This field is for validation purposes and should be left unchanged.

Receive alert notifications by email for every article from Artemis as it gets published.

Read previous post:
Leadenhall launching two ILS funds domiciled in Dublin

Leadenhall Capital Partners have announced that they are to launch two $50m insurance linked security investment funds and both will...