Bloomberg reports today that Scor the French reinsurer is targeting the longevity swap market by establishing a new team in London focused on capturing a portion of the longevity risk transfer sector. Longevity swaps are a growing area of risk transfer which allows pension schemes and insurers to hedge the risk of retirees living longer than expected.
Scor has targeted the UK as it is the most mature market for longevity swaps. They see a growing area of opportunity in longevity risk and reference a growing need for reinsurance for pension schemes and insurers due to the changing regulatory environment and Solvency II. They are targeting revenues of €110m ($150m) per year by the end of 2013.
Full story from Bloomberg here.