dpav Posted July 25, 2019 Share Posted July 25, 2019 One of our DB plans is considering termination by buying annuity contracts from an insurance co. This plan has about 40 participants, half of whom are nonresident aliens. The plan does not allow for lump sums (other than for small benefits). The plan's assets is about $18 mil. We have contacted several insurance companies and none would provide a quote, either because the plan is too small or because it covers nonresident aliens. Can anybody recommend an insurance company that would be willing to sell annuities for this type of plan? any help would be appreciated. Link to comment Share on other sites More sharing options...
david rigby Posted July 25, 2019 Share Posted July 25, 2019 Consider amending the plan to add LS option. I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice. Link to comment Share on other sites More sharing options...
dpav Posted July 25, 2019 Author Share Posted July 25, 2019 Thank you, David. Link to comment Share on other sites More sharing options...
MarkD Posted July 25, 2019 Share Posted July 25, 2019 My firm can help. We have been doing DB buyouts for almost 40 years. We have in-house software to run illustrations for costs before sending to the insurance companies. Once we run the illustration we will shop the insurance market and help your client meet their fiduciary 95-1 obligations. My email is mark.doloughty@dietrichannuity.com Mark Link to comment Share on other sites More sharing options...
dpav Posted July 26, 2019 Author Share Posted July 26, 2019 Thank you, MarkD. We'll be in touch. Link to comment Share on other sites More sharing options...
Brian Donohue Posted July 30, 2019 Share Posted July 30, 2019 Non-resident aliens pose some unique challenges for a terminating plan. Most insurance carriers shy away from this risk. Today we have 16 insurance carriers meeting the DOL’s criteria for “safest available annuity provider”. We can leverage our long term relationships with these carriers to produce actual quotations for this risk, not just illustrations. Feel free to call or e-mail John Neison (jneison@octoberthree.com 843.524.2491)to discuss how we can help you. Link to comment Share on other sites More sharing options...
dpav Posted July 31, 2019 Author Share Posted July 31, 2019 Thank you, Brian. Will call. Link to comment Share on other sites More sharing options...
Adam White Posted August 5, 2019 Share Posted August 5, 2019 Our firm also has years of experience guiding clients through pension plan buy-outs and plan terminations. In addition to gathering quotes from annuity providers, we acknowledge our co-fiduciary status when recommending the safest available annuity provider in accordance with DOL IB 95-1. My email is adam.white@riverandmercantile.com. We would be happy to set up a call to discuss how we can help you. Link to comment Share on other sites More sharing options...
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