WTW, a global advisory, broking and solutions company, has introduced Longevity Stream, a new longevity swap offering aimed at making longevity risk management more accessible and cost-effective for UK defined benefit pension schemes.
The solution has been developed to address challenges that have historically limited the use of longevity swaps among smaller and medium-sized pension schemes. While longevity swaps are widely used across the UK pensions market, the company said implementation and ongoing administration costs have often made them less practical for schemes with fewer resources.
WTW noted that more than £170 billion of longevity risk has been transferred to reinsurers since 2009, with the company acting as lead adviser on transactions exceeding £100 billion.
Longevity Stream is intended for pension schemes with liabilities ranging from £100 million to £1 billion. WTW added that the solution has been designed to support trustees considering a run-on strategy while also allowing for a straightforward transition to a bulk annuity if required in the future.
As part of the offering, trustees will have access to a panel of leading global reinsurers through a structured market process, with Zurich serving as intermediary.
Longevity Stream incorporates pre-negotiated legal documentation developed with law firm CMS, together with a simplified operating model intended to reduce complexity and enable schemes to implement longevity swaps under a fixed-fee structure.
The company said the launch comes amid renewed attention on longevity risk following the latest CMI mortality improvement projections and record low death rates recorded in 2026, developments which it believes have increased focus on the prospect of further improvements in life expectancy.
Rhys Mellens, Senior Director at WTW, commented: “Demand for longevity swaps has grown in recent years, with schemes increasingly looking to manage longevity risk, either as part of a run-on strategy or to lock down a key driver of future buy-in pricing.
“We are seeing increased interest from schemes that want to access this market but have been held back by the perceived complexity and cost. Longevity Stream removes those barriers, giving schemes a more efficient route to market whilst retaining future flexibility and enabling them to access the attractive pricing currently available.”
Amanda Chamming, Partner at CMS, added: “Longevity Stream offers great flexibility for schemes that previously may have found it difficult to access the longevity swap market, enabling them to further reduce their risk, strengthen scheme security and protect long-term outcomes for members.”
To find out more about longevity risk transfer and review details of completed transactions from across the market, visit the Artemis Longevity Risk Transfer Deal Directory.
