The agreement will see Pension Insurance Corporation, the insurance solution provider, insure members’ benefits within the Warwick scheme.
The transaction, which relates to retired pensioners only, means that the insurance policy will be held as an asset by the Warwick and will offset liabilities.
The pensioners remain members of the scheme, and PIC will eventually take over responsibility for the administration of these pensions.
Warwick International Group finance director Steve Williams says: “This insurance contract represents the best outcome at this point for the members of the pension scheme. It adds a new level of security to members’ benefits by reducing the scheme’s exposure to risk.”