Management Consulting
Aon
Full Credential Description
Aons Demographic Horizons toolkit addresses specific challenges faced by pension schemes, insurers, and reinsurers in modeling mortality and demographic risks. The client issues included the need for accurate mortality predictions and the assessment of longevity risk, particularly in key global markets such as the United Kingdom, United States, Netherlands, and Canada. To tackle these challenges, Aon provided a comprehensive framework that includes base mortality postcode modeling, granular experience analysis, and dependants modeling. This solution allows clients to utilize a web-based platform, the Demographic Horizons Studio, for direct access to mortality and dependants models, enabling them to perform tailored analyses. Aon's approach emphasizes robust predictions, leveraging all available data while incorporating soundly-derived confidence intervals to enhance the reliability of estimates. The results of Aon's tailored solutions are significant. The Demographic Horizons team has delivered best-estimate longevity and demographic advice for over £125 billion in pension plan-related transactions. Additionally, they have advised on longevity and market pricing for EU-based insurance transactions totaling 30 billion in defined benefit pensions from 2020 to 2023. In the U.S., they consulted on pension risk transfers with total premiums exceeding $10 billion during 2023-2024. Furthermore, Aon assisted a major institution in a contested mortality review for a longevity swap valued at £2 billion, demonstrating their capability to navigate complex longevity issues effectively.