The Black Arrow Group Ltd Pension and Assurance Scheme has completed a £7m buy-in with Pension Insurance Corporation (PIC), securing the benefits of 61 members.
The transaction, facilitated by Isio, covers all remaining members not previously insured and marks a further step in the scheme’s journey to reduce risk.
Under the terms of the deal, the buy-in insures the scheme’s remaining liabilities, reducing its exposure to longevity, investment and inflation risks, while providing additional long-term security for members’ benefits.
The transaction was supported by the sponsor, Black Arrow Group Limited.
Isio, which has advised the scheme for more than seven years, acted as lead adviser to the trustees throughout the insurance process, supporting preparation, insurer engagement and transaction execution.
Birchmoor (an independent trustee to the scheme) director, Jon Sharp, said the trustee board was pleased to have worked with the sponsor and advisers to deliver a positive outcome for members.
“The transaction shows that, even in a busy market, it is possible for schemes of this size to engage constructively with insurers and secure improved long-term security for members’ benefits,” he stated.
PIC head of new business strategy, Deepash Amin, noted that the deal enabled the remaining liabilities of the Black Arrow Group scheme to be insured.
“It demonstrates our continued commitment to working constructively with trustees and advisers across a wide range of scheme sizes,” he added.
Isio director, Dan Sherratt, said he was “really pleased” to have achieved the outcome for the scheme after working closely with the trustees, sponsor and other advisers over a number of years.
He added: “This collaborative approach resulted in a timely transaction being agreed, providing further benefit security for scheme members and reducing risk for the scheme.”
