Mercer, a global consulting leader in advancing health, wealth and career, and Club Vita, an international leader specializing in longevity analytics, today announced that Mercer is the first consulting firm to offer Club Vita’s longevity risk reporting to its clients in the United States, effective immediately.
10 July 2019
Bruce Cadenhead, Chief Actuary, Mercer, said “Longevity has become a crucial focus for plan sponsors as people are living longer, particularly in the current low interest rate environment. By working with plan sponsors to collect more insightful data, we can tailor each plan’s assumptions to their participants, increasing transparency and in turn, improving the value in pension risk transfer deals. Access to this data will help to justify lower pension liabilities in some cases.”
Dan Reddy, US CEO, Club Vita, said “We aggregate longevity data to aid anyone who wants to be better informed about the true cost of their pension plan. By combining Mercer’s data with ours, and adding in our analytical strengths, we will empower pension plan decision makers to decide the best strategies to manage the costs associated with their plans.
Mr. Reddy concluded: “In a recent pilot program, we tested data aggregated from over 100 US pension plans. We found increases and decreases in pension plan liabilities of up to 6% relative to the standard Society of Actuaries tables, with a reduction in liabilities on average.”