Pacific Life Re has completed a longevity reinsurance transaction with Achmea Pension & Life Insurance, taking on €4 billion of the €8 billion in pension liabilities transferred as the Dutch pension overhaul fuels a wave of risk transfer activity.
The deal covers approximately half of Achmea's longevity risk exposure, with Munich Re taking the remaining €4 billion. The risk transfer took effect on January 1, 2026, and the contracts will remain in force until the underlying portfolio has fully run off, a process that could span several decades. Aon served as advisor, with Hogan Lovells providing legal counsel.
The combined transactions are expected to add approximately 49 percentage points to Achmea Pension & Life Insurance's Solvency II ratio, which stood at 187% at year-end 2025. The group Solvency II ratio of 193% is expected to rise by about 11 percentage points.
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Arthur van der Wal, CEO of Achmea Pension & Life Insurance, called the transfer a deliberate step in the company's long-term strategy.
The capital benefit, he added, would support growth in pension buyouts and investment portfolio optimization "in close collaboration with Sixth Street and Achmea Investment Management."
The transaction lands at a pivotal moment for the Dutch retirement sector. The Future Pensions Act, which took effect in July 2023, requires all pension funds in the Netherlands to shift from defined benefit to collective defined contribution arrangements by January 1, 2028.
Read more: Achmea offloads €8 billion in longevity risk
The overhaul affects roughly €1.3 trillion in accrued benefits. Dutch life insurers have absorbed over €7 billion in pension liabilities through buyouts in the past two years, De Nederlandsche Bank data shows.
van der Wal previously suggested the market may already be outpacing expectations. "We always saw €20 billion to €30 billion as the potential. But when I look at what is going on in the market, I see amounts that are already above that ambition," he said.
For Pacific Life Re, the Achmea deal marks its largest longevity reinsurance transaction in the Netherlands and its fourth in Continental Europe. The reinsurer completed a €2 billion longevity swap with Nationale-Nederlanden in early 2025, followed by a €1.3 billion deal with ASR Nederland announced in February 2026.
Vanessa HoVon, managing director for savings and retirement at Pacific Life Re, said the deal "highlights our ability to deliver tailored longevity solutions at scale." Debevoise & Plimpton advised Pacific Life Re on the transaction.
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