Allowing for the input of more than 200 variables, the Epiphany software system calculates how a pension can bridge a portion or all of its unfunded liability through the use of life insurance.
Epiphany’s modeling pinpoints the necessary amount of insurance to be purchased for consenting plan participants to fund the pension’s desired liabilities. Calculations can be run on various timetables, using a number of forms of life insurance.
Against various long-term goals, the tool blends mortality tables and other variables as required.
“Corporations, state and local governments’ underfunded and unfunded pension liabilities total nearly $5 trillion dollars,” said Patrick Elshaw, president of Retirement Benefit Solutions. “It is time for these pension plans to find new, long-term solutions to this mounting crisis. Our pension-owned life insurance solution sits outside the volatility of the current market.”
More information is available here.