PIC sets sights on £10 billion in bulk annuities

After £250 million funding round, company outlines plans to expand on 25 per cent market share

Insurance News

By Callum Glennen

Pension Insurance Corporation (PIC), a specialist insurance company known for buying out or insuring defined benefit schemes, is looking to expand its portfolio if recent cash raising efforts are any indication.

Speaking to the Financial Times, a spokesman for the insurer estimated there was £10 billion worth of bulk annuities business in the pipeline for the company. PIC already claims it holds a 25 per cent share of its market even though it competes with insurers like Legal and General, Rothesay Lift, Partnership and Aviva.

As reported by FTAdviser, a spokesperson for PIC said the recent funds were not related to a specific deal, but were in order to be ready for the large number of companies looking to offload challenging DB schemes.

PIC’s recent round of funding was reported by Insurance Business UK in May. Its investors included Chinese investment house Legend Holdings Corporation, the parent company of the Lenovo Group, and Reinet Fund, the investment arm of the Rupert Family. Together with other shareholders they have raised £250 million in this most recent round.

PIC took on £2.8 billion of liabilities last year alone, including the complete buyout of the £2.4 billion Philips UK Pension Scheme, which PIC claimed as the largest DB buyout in history.



Keep up with the latest news and events

Join our mailing list, it’s free!