Lufthansa Group has insured its three UK defined benefit (DB) pension schemes with Royal London in one integrated transaction worth £120m (€145m).

Each of the pension schemes had its own unique features but the parties worked together to run the bulk purchase annuity (BPA) transactions efficiently, offering bespoke contractual terms where appropriate, according to a statement from Royal London.

Cardano supported the trustee in the completion of the transactions.

Clive Grimley, chair of trustees at Lufthansa UK Pension Trustee Limited, said the move would deliver long-term benefit security for the Lufthansa pension scheme members.

Beatrice Male, BPA origination lead at Royal London, added that the transactions insure the benefits of 1,200 scheme members, and that Royal London was “clear” with the trustees that it sees “brilliant care” for their members over the decades ahead as critically important.

Adolfo Aponte, managing director at Cardano, added that this three-in-one transaction “pushed the boundaries of what was thought possible in this segment of the market, demonstrating the value of buying-in the schemes together”.

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Pamela is IPE's UK correspondent. Before joining IPE in May 2023, she spent five years writing about the insurance industry. During her career so far she won awards for Most Promising Newcomer in 2020 and Best Investigative Article in 2022 from the British Insurance Brokers Association, and was also highly commended at the WTW Media Awards for Insurance Features Journalist of The Year.View full Profile

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