On the go: The Association of British Insurers Pension & Assurance Scheme has completed a £26m buy-in with Aviva.
The deal covers 191 pensioner members, and the fund received assistance from Mercer in its search for an insurer.
“We worked closely with the ABI and Mercer over the past 12 months to plan, and then take, this important step on our journey to further reduce the scheme’s risks. Aviva was selected after a competitive tender process and we are very pleased to have successfully completed this transaction,” said Philip Exact, chair of the trustees.
This is the second buy-in the scheme has inked up with Aviva, the first being a £10m deal completed in 2017.
Deborah McWhinney, risk transfer principal at Mercer, commented: “We are very pleased to have been able to work with the trustees again and bring this second tranche of pensioners to the market. This is a further significant step for the trustees in their derisking journey and represents a positive outcome for the long-term security of members’ benefits.
“Despite ongoing uncertainty, we continue to see pension schemes concentrating on derisking activity, and we are looking forward to seeing more transactions throughout the year,” she noted.
The scheme also received legal advice from Shepherd and Wedderburn.
This article originally appeared on Mandatewire.com
