Death benefits in UK annuities 'should be eligible for revised Solvency II matching adjustment’

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UK annuity products with guaranteed payments on death should be eligible for the matching adjustment as the mortality risk these products carry is likely to be immaterial in most cases, actuaries say. Exposure to mortality risk, which can disrupt the predicted cashflows, could make life products ineligible for the matching adjustment. This could force UK annuity providers to scrap or raise the price of some product features, such as guaranteed payment periods on the death of the annuitant. Bu