An unnamed healthcare sector pension scheme has completed a £189m buy-in with Canada Life, covering the benefits of over 1,100 deferred members and more than 600 members already receiving pensions.

It follows almost two years of preparatory work by the trustee and sponsoring employer to ensure the scheme was ready to enter the bulk annuity market.

Canada Life was selected after a competitive tender process, during which the insurer demonstrated flexibility in meeting the scheme’s objectives.

As part of the agreement, the insurer will cover enhanced benefits for deferred members who remain employed by the sponsor, in line with existing scheme rules.

The structure also allows the trustee to adjust insured benefits for members who leave the employer before a future buyout.

WTW advised Independent Governance Group (IGG), the scheme’s sole trustee, on the transaction.

Stephenson Harwood provided legal advice to the trustee, while Mercer acted as actuarial and investment adviser.

Canada Life was advised by its in-house legal team, with the sponsoring employer advised by WTW and Baker McKenzie.

Canada Life managing director of bulk purchase annuities, Shreyas Sridhar, said the transaction reflected a shared focus between the insurer, trustee and sponsor on achieving long-term security for members.

He explained that Canada Life’s approach was centred on working closely with trustees and employers to structure buy-in arrangements that meet scheme-specific objectives, while also providing confidence that members’ benefits will be supported over the long term.

IGG professional trustee, Dickon Best, added that the buy-in represented a "strong outcome" for the scheme after an extensive period of preparation.

Best said the transaction had secured benefits for all members and highlighted the importance of close collaboration between the trustee, advisers and sponsoring employer in delivering a successful outcome.

Meanwhile, WTW senior director, Gemma Millington, claimed strong insurer engagement played a key role in achieving competitive terms for the scheme.

She noted that initial pricing was received from eight insurers, underlining continued appetite for transactions across a range of deal sizes, and added that high levels of competition are expected to persist into 2026, benefiting schemes planning to approach the market next year.

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