The Denholm Pension Scheme has completed a pensioner buy-in transaction worth just under £8m within six weeks with JLT Employee Benefits (JLT EB).

The deal was the first to be completed through JLT EB's Buy-inSure solution, which is designed for smaller schemes with less than £60m pensioner liabilities to transact against a fixed fee.

According to research by JLT EB, transactions below £60m have typically accounted for over 90% of the total number of deals completed in any calendar year.

Alistair Wesley, J. & J. Denholm Limited group pensions manager, said: "JLT EB organised a competitive tender using Buy-inSure, resulting in a transaction completing in under six weeks at a good price.

"With the support of the employer, the trustees have a history of insuring benefits for our pensioners. As such, we believe this transaction to be a very positive step for the Scheme and its members."

The transaction was completed within six weeks from requesting quotations form insurers on terms that met the trustees' and sponsor's objectives.

Martyn Phillips, JLT EB head of buyouts, said: "Schemes wishing to make these smaller transactions have historically struggled to obtain the competitive pricing and flexibility offered to the larger end of the market and to find a process which is both effective and cost-efficient.

He said that the company has developed a process to optimise the likelihood that a transaction will be completed at the right price and in a timely manner.

He added: "Many buy-ins are delayed due to lengthy negotiations around enhanced contract terms, which in some instances lead to pricing terms moving against schemes, and transactions becoming more costly or ultimately failing to get past the finishing post."

First published 10.09.2013

monique_simpson@wilmington.co.uk