BT Pension Scheme, London, has completed two longevity reinsurance transactions totaling £10 billion ($12.9 billion), according to a news release.
The arrangements cover BTPS pensioner liabilities of £5 billion with Swiss Re, and increases existing cover with Reinsurance Group of America by £5 billion.
The transaction will have no impact on BT’s cash contributions to the plan, which has around £36 billion in assets.
“These transactions help to advance the development of the plan’s long-term investment strategy, providing increased certainty for the plan, our sponsor, and members,” said Jill Mackenzie, chair of trustees at BTPS, in the news release.
The sponsor company is BT, formerly British Telecom, a provider of telephone and broadband services with operations in more than 100 countries.
In August 2023, BTPS completed a £5 billion longevity swap, with RGA reinsuring the deal.
The most recent transactions were led by Brightwell, BTPS’ primary services provider and supported by WTW and A&O Shearman with Swiss Re being advised by Willkie Farr & Gallagher.
