29 June 2026
ZEDRA, an award-winning provider of pension and incentive services, today said the growing interest in run-on strategies among larger defined benefit (DB) pension schemes is creating more favourable buy-out conditions for smaller schemes by increasing insurer competition and improving pricing dynamics.
Alastair Meeks, Client Director at ZEDRA, commented: “While run-on may not be a realistic endgame option for most smaller schemes, it is helping to create some of the most favourable buy-out conditions they have seen in years. As more larger schemes explore alternatives to buy-out, fewer large transactions are progressing through the traditional insurer market, prompting insurers to direct more attention and capacity towards smaller schemes.
“Historically, smaller schemes often struggled to attract sustained insurer interest and, in some cases, needed to rely on exclusivity arrangements simply to progress a transaction. That is now becoming far less common. Multiple insurer quotations are now more frequent, increasing competition and improving pricing for schemes that may previously have had limited options.”
Meeks continued: “For smaller schemes considering buy-out, the current market presents a valuable opportunity. Stronger insurer competition is creating greater choice and, in many cases, more attractive pricing than has been available in recent years.
“While every scheme’s circumstances are different, those with buy-out ambitions may find this is an opportune time to assess their readiness, ensure their data and benefit specifications are in good shape, and engage with the market. For schemes seeking the security of buy-out, the current environment may offer a particularly attractive route to safe harbour.”
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