U.S. life insurers assumed far more pension risk in the first quarter than in the first quarter of 2018.
Insurers completed $4.8 billion in pension risk transfer transactions during the quarter, up from $1.4 billion in the year-earlier quarter, according to a new batch of issuer survey data from the LIMRA Secure Retirement Institute.
Pension risk transfer activity has generally been strong since 2014. Overall activity increased about 15% in 2018, to $26 billion.
Insurers assume pension risk by selling an employer or other pension plan sponsor a large group annuity. In recent years, activity has usually been lowest in the first quarter and strongest in the third and quarters of the year.