Legal & General reach sixth longevity reinsurance agreement with Prudential
Legal & General Group plc (“Legal & General”) concluded their sixth longevity reinsurance agreement since 2014. The agreement signals the resurgent market for longevity reinsurance and de-risking solutions in the U.K. in 2017, with market volumes up significantly since the 2016 Brexit vote.
Legal & General Group plc (“Legal & General”) and Prudential Retirement have concluded their sixth longevity reinsurance agreement since 2014. The Prudential Retirement Insurance and Annuity Company (PRIAC) assumes longevity risk for approximately $800 million (£600 million) in pension liabilities, which are held by Legal & General as part of its bulk annuity business. The transaction covers more than 2,000 pensioners. Legal & General and Prudential have now partnered on six transactions that together reinsure nearly $8 billion in longevity risk.
Joyeeta Kanungo, Head of New Business Reinsurance for Legal & General:The transaction is also another example of longevity reinsurance having a positive impact in enabling U.K. pension schemes to de-risk efficiently with a strong insurer such as Legal & General.
Notes to editors
Established in 1836, L&G is one of the UK's leading financial services groups and a major global investor, with £1.2 trillion in total assets under management (as at FY25) of which c. 43% (c. £0.5 trillion) is international. We have a highly synergistic business model, which continues to drive strong returns. We are a leading player in Institutional Retirement, in Retail Savings and Protection, and in Asset Management through both public and private markets. Across the Group, we are committed to responsible investing and dedicated to serving the long-term savings and investment needs of customers and society.