Pensions want direct & efficient access to longevity reinsurance
Thursday, 05 07 2015, Category: Insurance and Reinsurance, Country: World
Pension fund trustees and sponsors are increasingly focused on accessing sources of longevity reinsurance capacity as directly and efficiently as possible, promising to stimulate further growth of the longevity swap market in 2015, according to Aon Hewitt.
The pensions and benefits consulting division of insurance and reinsurance broker Aon expects that 2015 will be a year of “significant growth” for the market in longevity swaps and hedging, as pension funds continue to look to transfer their longevity exposure to others.
As a result of growing demand for access to longevity risk transfer and reinsurance capacity, the search for efficiency is set to continue, Aon Hewitt says, with structures that allow more direct access to reinsurers growing in popularity.