Aviva has today announced the completion of a £1.5 billion bulk purchase annuity full-scheme buy-in with the Michelin Pension and Life Assurance Plan. The transaction, which includes an in-specie transfer of assets, completed in September 2024. It secures the benefits for c15,000 members of the scheme.
The Trustee was advised by XPS Group and legal advice was provided by Pinsent Masons LLP.
This is a significant deal showing the strength of our bulk purchase annuity business in securing good outcomes for pension scheme members. We are well positioned to carry out large-scale transactions in addition to our capability in the small and medium scheme market.
Doug Brown, CEO of Insurance, Wealth and Retirement at Aviva said: “This is a significant deal showing the strength of our bulk purchase annuity business in securing good outcomes for pension scheme members. We are well positioned to carry out large-scale transactions in addition to our capability in the small and medium scheme market.”
Sarah Cave, Senior Deal Manager at Aviva, said: “It’s been a pleasure to work with the Trustee and their experienced advisers on such a well-prepared transaction. Their approach and clear strategy made this transaction attractive to us and enabled us to put our best foot forward when bidding. We are really pleased that the Trustee has chosen to partner with Aviva. This deal further demonstrates Aviva’s capability for structuring transactions to meet specific client needs.”
Vincent Dormieux, Chair of Trustees for Michelin Pension and Life Assurance plan said: “The Trustee is delighted to have improved the long-term security of members’ benefits by completing this buy-in transaction with Aviva. I’d like to place on record our sincere thanks to our full advisory team and to the Michelin Group for its support through the process.”
Stephen Purves, Head of Risk Settlement at XPS Group said: “We’re really pleased to have led on this important transaction and to have helped the Trustee secure its members’ benefits with Aviva. We were always expecting to see lots of large transactions complete in H2 2024 and we developed a strategy to make this transaction stand out in a busy market. This included simplifying our transaction requirements before going to the insurers and an ‘in-house’ solution to deal with the Plan’s illiquid assets.”
-Ends-
See more information on Bulk Purchase Annuities at Aviva
Media enquiries:
Shelley Kernaghan
Retirement and Annuities
-
Phone
-
+44 (0) 7800 692 266
-
-
Email
Notes to editors:
- We are the UK's leading diversified insurer and we operate in the UK, Ireland and Canada. We also have international investments in India and China.
- We help our 19.6 million (as at 31 August 2024) customers make the most out of life, plan for the future, and have the confidence that if things go wrong we’ll be there to put it right.
- We have been taking care of people for more than 325 years, in line with our purpose of being ‘with you today, for a better tomorrow’. In 2023, we paid £25.6 billion in claims and benefits to our customers.
- In 2021, we announced our ambition to become Net Zero by 2040, the first major insurance company in the world to do so. We are aiming to have Net Zero carbon emissions from Aviva’s operations and supply chain by 2030. While we are working towards our sustainability ambitions, we recognise that while we have control over Aviva’s operations and influence on our supply chain, when it comes to decarbonising the economy in which we operate and invest, Aviva is one part of a far larger global ecosystem. There are also limits to our ability to influence other organisations and governments. Nevertheless, we remain focused on the task and are committed to playing our part in the collective effort to enable the global transition. Find out more about our climate goals at at www.aviva.com/sustainability/climate and our sustainability ambition and action at www.aviva.com/sustainability.
- Aviva is a Living Wage, Living Pension and Living Hours employer and provides market-leading benefits for our people, including flexible working, paid carers leave and equal parental leave. Find out more at https://www.aviva.com/about-us/our-people/
- As at 30 June 2024, total Group assets under management at Aviva Group were £398 billion and our estimated Solvency II shareholder capital surplus as at 30 September 2024 was £7.6 billion. Our shares are listed on the London Stock Exchange and we are a member of the FTSE 100 index.
- For more details on what we do, our business and how we help our customers, visit www.aviva.com/about-us
- The Aviva newsroom at www.aviva.com/newsroom includes links to our spokespeople images, podcasts, research reports and our news release archive. Sign up to get the latest news from Aviva by email.
- You can follow us on:
- X: www.x.com/avivaplc
- LinkedIn: www.linkedin.com/company/aviva-plc
- Instagram: www.instagram.com/avivaplc
- For the latest corporate films from around our business, subscribe to our YouTube channel: www.youtube.com/user/aviva
