The insurance policy covers around a quarter of the scheme’s uninsured pensioner liabilities.

In the process of choosing an appropriate insurer and negotiating terms, the Aegon UK Staff Retirement and Death Benefit Scheme was advised by Hymans Robertson and Burness Paull.

Maurice Brunet, chairman of the Trustee of the Aegon UK Staff Retirement and Death Benefit Scheme, said: “This is a key milestone for the Scheme being the first buy-in as part of our long-term de-risking strategy. It helps to improve long-term security for all of our members by reducing the Scheme’s exposure to future investment and longevity risks.”

Justin Grainger, head of bulk purchase annuities at Phoenix Group, added: “We are delighted to have supported the Trustee of the Aegon UK Staff Retirement and Death Benefit Scheme. It was a pleasure to work with the Trustee and its advisors to complete a transaction quickly and smoothly despite challenging market conditions.

“We recognise the opportunities and growth that the BPA market provides, and will continue to offer attractive solutions to pension scheme trustees. This transaction takes Phoenix’s year-to-date bulk annuity volumes to approaching £2bn and further demonstrates our commitment to this market.”

Michael Abramson, partner at Hymans Robertson, said: “Hymans Robertson are very pleased to have helped the Trustee achieve a great outcome for the Scheme and its members. Phoenix’s collaborative approach led to a smooth and quick implementation despite this being a record year for bulk annuity transactions.”