Pacific Life Announces a New Solution for De-Risking Pension Plans: Pacific Secured Buy-In

Pacific Life has launched Pacific Secured Buy-In, adding yet another dimension to the company’s already comprehensive portfolio of pension risk-transfer products.

“We’re very excited to announce this complement to our pension de-risking product suite,” says Richard Taube, vice president, Institutional & Structured Products for Pacific Life. “Pacific Secured Buy-In enables plan sponsors to de-risk their pension obligations and stabilize their corporate balance sheets and income statements without affecting plan termination. For plan sponsors who want to de-risk and without recognizing settlement losses, this is the solution they may need.”

Pacific Secured Buy-In also provides plan sponsors with flexibility for the future. The product allows the plan sponsor to convert to a Pacific Transferred Buy-Out℠ contract at any time and at no additional cost. The conversion completely transfers all future benefit obligations from the plan sponsor to Pacific Life.

With the addition of Pacific Secured Buy-In, Pacific Life's suite of risk-transfer products provides solutions for a wide range of pension de-risking scenarios. The product suite includes Pacific Insured LDI℠, a first-of-its-kind guaranteed alternative to best-efforts liability-driven investing strategies. Launched last year, Pacific Insured LDI provides plan sponsors with a unique guaranteed match of plan assets to plan liabilities. It does not require up-front payment like a buy-in or buy-out product, and it does not trigger settlement losses.“With our full suite of pension de-risking products, we have seen an increased interest from plan sponsors, consultants, and brokers,”adds Taube.“Regardless of a plan’s funded status and whether or not the ultimate goal is plan termination, Pacific Life can offer a pension de-risking solution.”