LGA Pension Risk Transfer: The 100 Day Project

by Tom Scales,  Mohammed Mahfuz, September 27, 2016
Case Studies
North America

Abstract

Celent has released a new report titled LGA Pension Risk Transfer: The 100 Day project. The report was written by research director Tom Scales and analyst Mohammed Mahfuz, both in Celent’s Insurance practice.

Legal & General America (LGA) has entered the US Pension Risk Transfer (PRT) market in a big way. After researching the market for partners to process the business, with Celent's help, they made the bold decision to build the capability in-house at their US Life insurance system company. This report documents this aggressive 100 day project, through the eyes of those involved.

“We had a unique opportunity to observe the project from the very early formation,” said Scales. “It is an impressive story of accomplishments in a very compressed timeframe.”

The project has been a big success. This success can be attributed to the team, from all areas of the business, that worked together to achieve their goals. From IT, to Operations, to Sales, to Executive leadership, the entire team was actively involved in the project. By leveraging the existing LGA operations and technology infrastructure, they were able to accelerate the process and go live in an extremely short time, with great success.

"The camaraderie of the entire team was clear," said Mahfuz. "Everyone jumped in to help, including the most senior executives."

Celent is a research and advisory firm dedicated to helping financial institutions formulate comprehensive business and technology strategies. Celent publishes reports identifying trends and best practices in financial services technology and conducts consulting engagements for financial institutions looking to use technology to enhance existing business processes or launch new business strategies. With a team of internationally based analysts, Celent is uniquely positioned to offer strategic advice and market insights on a global basis. Celent is a member of the Oliver Wyman Group, which is a wholly-owned subsidiary of Marsh & McLennan Companies [NYSE: MMC].

Media Contacts

North America
Michele Pace
mpace@celent.com
Tel: +1 212 345 1366

Europe (London)
Chris Williams
cwilliams@celent.com
Tel: +44 (0)782 448 3336

Asia (Tokyo)
Yumi Nagaoka
ynagaoka@celent.com
Tel.: +81 3 3500 3023

Table of Contents

Executive Summary

2

 

Key Research Questions

2

Introduction

3

The Pension Risk Transfer Market

4

Introducing Legal & General

6

 

Snapshot

6

 

Financial Strength

6

Selection Process

8

 

Researching Available Third Party Administrators

9

Moving Forward — The 100 Day Project

9

 

Interviewing the Leadership

9

 

Building the Team

10

 

Process

11

 

Sales

12

 

Challenges and Opportunities

13

 

Oversight and Project Management

14

 

Measuring Success

15

Conclusion

16

Leveraging Celent’s Expertise

17

 

Support for Financial Institutions

17

 

Support for Vendors

17

Related Celent Research

18

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