L&G completes £1bn longevity insurance deal


Legal & General has agreed a £1bn longevity insurance deal with the Pilkington Superannuation Scheme.

The transaction insures against the risk of 11,500 current pensioners in the scheme living longer than expected. L&G has also entered into a longevity reinsurance agreement with Hannover Re in respect of the scheme.

This follows a £1.1bn buy-out deal with the Turner & Newall pension scheme in October last year.

L&G chief executive Tim Breedon (pictured) says: “In the UK and globally, the pension fund de-risking market will continue to grow as pension funds look to further de-risk.

“These transactions leverage our expertise in investment management and longevity risk pricing, and I see us remaining at the forefront of this rapidly developing pensions market.”