QinetiQ Pension Scheme, Farnborough, England, insured £130 million ($183 million) in liabilities through a buy-in with Legal & General Assurance Society, a spokeswoman at the multinational defense technology company confirmed.
The deal is the plan's second risk transfer transaction. In April 2019 it conducted a £690 million buy-in with Scottish Widows, which covered all retiree liabilities at the time.
Thursday's transaction insured the liabilities of participants who have retired since the last buy-in. The percentage of total liabilities now covered was not available.
"This further step on the scheme's journey increases the security of the benefits of all our scheme members. With the support from our advisers, the trustee was able to reduce the risks in the scheme whilst also expanding our framework for future derisking," Lisa Mundy, chairwoman of the plan's trustees and trustee at BESTrustees, said in a news release.
QinetiQ Pension Scheme has £2.4 billion in assets.
Lane Clark & Peacock provided derisking advice to the trustee. Legal advice was provided to the trustee by law firm Burges Salmon and to the insurer by law firm Clifford Chance.