Download Life Risk News Volume 2, Issue 12, December 2023

Industry group the European Life Settlement Association (ELSA, publisher of Life Risk News) published new information recently that provides insight into the number and activities of the life settlement provider market. Greg Winterton spoke to John Dallas, President of Berkshire Settlements and incoming Chair at the Life Insurance Settlement Association, and myself for our thoughts on the topic in New Insights Into Life Settlement Providers Shows Market Offering Solid Asset Manager and Consumer Choice. 

Much has been written about the higher interest rate environment contributing to the improved funding status of defined benefit pension funds, but the chaos in the UK gilt market in October 2022 has also been a significant driver of pension risk transfer (PRT) activity in 2023. Aaron Woolner spoke to Shelly Beard, Partner at WTW, to find out more in LDI Crisis Spurs UK’s Pension Risk Transfer Market in 2023. 

Next year will be the first time UK insurers report full year results under the IFRS 17 regime, and the country’s Solvency UK reforms will also continue to progress during the year. Greg Winterton spoke to Anthony Coughlan, Partner, and Jignesh Mistry, Director at PwC to get their thoughts on this topic in Despite Interesting Nuances, IFRS 17 Impact on UK Bulk Annuity Market Less Than Solvency UK. 

For a life settlements underwriter, dementia is a condition commonly seen due to older lives being underwritten and the increasing prevalence of the disease. Many factors need to be taken into account when assessing these risks, as explained by Dr Jyotsna Kamble, Medical Underwriter at CG Analysts, in Dementia: An Increasing Global Problem and a Complex Underwriting Condition for the Life Settlement Industry, a guest article this month. 

The equity release market in the UK returned to growth in Q3 this year, the first time in 12 months, according to British industry group, the Equity Release Council. So, for this month’s poll, we wanted to know whether our readers thought this was a turning point for the industry. The results indicate that there are a lot of bulls out there. 

Many philosophies and theories about LEs have been proffered by life expectancy providers and virtually every type of participant in the life settlement market has contributed to the discussion on actual to expected analysis. Vince Granieri, Founder at Predictive Resources, in Actual-to-Expected Apocrypha, adds his views in our second commentary piece. 

Our Q&A this month features Chris Conway, Chief Development Office at life expectancy underwriting firm, ISC Services. Conway gives his thoughts on how the life settlement market has performed in 2023, and what he plans to be involved in now that he has been appointed to ELSA’s Executive Board. 

Whilst 2023 is not quite in the books just yet, it has been another busy year in the UK PRT market. But those in the UK licking their lips at the prospect for 2024 bringing ever more deals might want to rein in their excitement, as the regulator is paying ever closer attention. Greg Winterton spoke to Avery Michaelson, CEO, and David Schrager, CFO, at Longitude Exchange to get their views on the long-term outlook for the space in Reinsurance Concentration Risks Point to Inevitable Future for Longevity Risk Transfer Market.