Swiss Re has executed its first longevity reinsurance transaction covering US retirees, marking a significant expansion of its global longevity risk transfer business.
The $2bn deal was concluded with Athene, which acted as the counterparty as part of its routine risk management activities.
Longevity reinsurance allows pension providers and insurers to protect against the financial impact of participants living longer than expected, helping them meet retirement income promises.
Swiss Re has a two-decade track record in the longevity market, completing more than 30 transactions across the UK, Netherlands, Singapore and Australia, covering over $50bn of pension benefits and more than one million retirees, the firm announced.
Michael Bacon, managing director, head of US globals and transactions at Swiss Re, said: “Swiss Re’s financial strength and structuring experience support Athene’s mission to protect policyholders’ pension income in retirement. This transaction demonstrates our continued commitment to delivering tailored longevity risk solutions to leading retirement services providers.”
Longevity business accounted for 17% of Swiss Re’s Life & Health Reinsurance revenue in 2025, making it the second largest segment of the unit.
The firm said demand is set to grow as defined benefit plan sponsors increasingly transfer pension liabilities to insurers, reflecting a broader shift in the US and global retirement landscape.
The deal underscores the growing importance of longevity risk management in the US market, which has lagged Europe in adopting reinsurance solutions.
Swiss Re’s entry is likely to be closely watched by other insurers and pension plan sponsors considering similar strategies, as the need to manage extended retiree lifespans continues to rise.
With the US representing a major untapped market, industry observers say the transaction could signal the start of a broader wave of longevity risk transfers in North America, following the model established in Europe and Asia.
