View more on these topics

L&G completes £1bn longevity insurance deal

BREEDON.jpg

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.”

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

There is one comment at the moment, we would love to hear your opinion too.

  1. Aha ~ if a deal of this nature can be struck in respect of a large FS scheme such as that of Pilkington, then a similar deal could be struck as part and parcel of the Retirement Income Bond which the government should allow insurers to offer as an alternative to the shackle of annuity rates.

    But, despite Steve Webb’s proclamation that he’s open to suggestions as to how the pensions landscape could be improved, it seems quite clear to me that this isn’t tha case at all. I wrote to him on this very subject and received nothing but a bland, non-committal acknowledgement from one of his minions. Okay, I didn’t expect an enthusiastic response along the lines that the Retirement Income Bond is the best proposal they’ve ever received and they’ll definitely incorporate it into the government’s programme of positive reform. But the response I have received is so tepid that I very much doubt that any notice at all of my suggestion will be taken.

    So much for the Conservatives’ pre-election manifesto pledge to undo as much as possible of the damage done to the pensions framework by successive governments over the past 25 years. All the government appears to be interested in is steamrollering ahead NEST, which is basically forcing millions of people to participate in a manifestly broken pensions framework. Why is that politicians so often say one thing before an election but then, once they’ve taken office, pursue an entirely different agenda?

Leave a comment

Close

Why register with Money Marketing ?

Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm

Email: customerservices@moneymarketing.com