Pensions & benefits

Mortality, longevity and demographic modelling

Understanding longevity risk is a fundamental building block for managing a DB pension scheme. Getting it right will lead to better member outcomes. 

Our longevity advice uniquely draws from our multi-disciplinary team, combining actuarial modelling with real world health insights to provide trustees and employers with robust forward-looking scenarios to help them make better decisions. 

We tailor our advice to our clients’ specific circumstances, providing them with both reliable insights and a better understanding of their risks.

Understanding longevity risk can help you achieve better outcomes for your members – whether it is changing the pace of your journey plan, assessing the value of an insurance transaction, understanding whether a surplus could be used for enhancing member benefits, setting appropriate accounting assumptions, or ensuring your investment hedging or cashflow matching strategy is accurate.

We work closely with our actuarial team to ensure all our clients benefit from fully-informed assumptions setting.

We also advise large pension schemes on a standalone basis who wish to benefit from the valuable longevity insights our team can provide.

Through our unique approach, we can help:

  • Form a robust assessment of suitable current mortality rates for your membership.
  • Analyse how longevity rates may change in the future.
  • Understand what plausible future pathways could transpire to give a clear understanding of the risk associated with how long your members may live.

Our longevity advice can support a range of decision-making, including:

  1. Setting appropriate mortality assumptions for scheme funding or accounting purposes
  2. Undertaking comprehensive estimates and value-for-money analysis of buy-in or longevity swap pricing
  3. Setting appropriate longevity risk reserves to support a long-term run-off strategy
  4. Forming a thorough assessment of your liability profile to support a cashflow-driven investment strategy.

Get in touch

If you would like to know more about our services and how we can help you.

Contact us