Royal London has completed a £10m buy-in with a scheme sponsored by HSBC, as the market for small scheme insurance transactions remains strong.
The deal insures the Credit Commercial de France – London Branch Pension and Life Assurance Scheme, sponsored by HSBC Bank.
Isio was lead adviser and transaction manager, and supported the trustees in a detailed data rectification exercise prior to the deal proceeding. Osborne Clarke provided legal advice to the trustees.
Allan Marchant, a trustee representative, said: “This buy-in is an important step in securing the future sustainable payment of members’ benefits. The trustees were particularly pleased with the collaborative and well-coordinated approach taken throughout the transaction, including the work undertaken to improve and prepare the scheme’s data ahead of the insurer process.”
Tom Hill, bulk annuity origination manager at Royal London, added: “Partnering closely with the trustees, HSBC Bank and their advisers Isio meant that we could deliver an accelerated process whilst still tailoring the transaction around the needs of the trustee and sponsor.
“We take pride in bringing a flexible and client-led approach to all our trustee clients, and this £10m transaction demonstrates that in action. We now look forward to continuing to showcase that to the trustees in the post-transaction phase.”
Aviva and Just complete sub-£25m deals
Earlier this month, Aviva and Just Group also announced small bulk annuity transactions.
Aviva’s £24m buy-in deal was with an unnamed pension scheme and covered 240 members. The insurance company was able to incorporate GMP equalisation into its quote, according to a press release. Gallagher was the risk transfer broker while Pinsent Masons provided legal advice.
Just Group, meanwhile, announced a £4m buy-in with Combat Stress’s legacy DB scheme. The deal completed in May and covered 39 members of the pension scheme. Combat Stress is a charity providing mental health support to ex-military staff.
Barnett Waddingham was the risk transfer adviser, and legal advice was provided by Burges Salmon.
