By Louise Howe, Senior Director, WTW
Since 2007, we have administered numerous transactions over £500 million, always prioritising member security and confidence. Our approach is grounded in clear, straightforward communication and dedicated project management, so you can be confident that members' pensions remain safe, understandable, and well cared for during and after the buy-out process.
Just imagine…
You're a pension scheme member, and a letter lands on your doorstep telling you that your defined benefit pension is moving to an insurer. You might not have followed every technical detail over the years, but you trusted the employer standing behind it.
Now you're wondering…
Why is this happening?
Is my pension still safe?
Will anything change for me?
These reactions are completely natural and they're exactly why thinking like a member is essential to any successful buyout project. Members don't judge a buyout by market timing or technical milestones. They judge it by how secure they feel, how clearly they're guided and how smooth life feels after the transition.
So how can trustees build that confidence?
Before the transaction: Build trust early
Use plain English explainers – what a buyout is and isn't
Show the decision path and why this is good news
Share a clear timeline so members know what happens whenTailor messaging for different groups – overseas members, deferreds, pensioners, AVC holders, and more
Prepare for practicalities: locating 'missing' members and cleansing data, choosing communication channels, and securing print resources
Think about member self-service options already in place – will these be reduced or removed if you switch to insurer factors?
Selecting an insurer: Ensure seamless continuity
Select an insurer that can offer a high-quality administration service to ensure member transactions and payments run smoothly – member confidence depends on it
Check what the online offering will be post transaction – including self-service tools for quotations, address and contact details updates, full online transactions, including retirement
During the transaction: Keep communication clear
Have a communications plan and explain any changes to members
Test the content and receive feedback, to ensure communications are clear and easy to understand
Be explicit about retirement options and how insurer rules may differ
Reinforce the security of benefits and explain how members can get help — phone, web, email, live chat — with extra support for vulnerable members
Think about the impact of implementation decisions (like factor changes) on the member experience
At the heart of any buyout, trustees are asking members to trust them with one of their most valuable assets – their retirement income. Clear, consistent communication is the key to strengthening that trust and helping members feel secure every step of the way.
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