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| Benefits & Administration |
| HSAs See Solid Investment Returns |
| Health savings accounts (HSAs) held $24.2
billion in assets as of December 31, 2014, including $21 billion in
contributions and $3.2 billion from investments, according to an analysis of
the HSA market from Devenir.Read more > |
| New Mortality Tables Increased DB Liabilities by $100B |
| For year-end 2014, Moody’s estimates that
pension funding levels for its rated U.S. corporates decreased, by 8 percentage
points, to 78% of pension obligations, versus a year earlier. According to
Moody’s recent Credit Outlook, in dollar terms, this equates to $201 billion of
increased underfunding. The ratings agency says two forces drove this large
plunge in 2014: lower discount rates and increased longevity.Read more > |
| Sponsors Active on Pension Risk and DC Cost Cutting |
| A new Aon Hewitt survey shows there are many
reasons pension plan sponsors look to address risk in their pension plan
offerings, but reducing Pension Benefit Guaranty Corporation (PBGC) premiums
stands out as a common target. Nearly one in five pension plan sponsors (19%)
polled by Aon Hewitt plans to increase cash contributions this year to reduce
future PBGC premiums assessed against unfunded liabilities. The survey of 183
defined benefit (DB) plan sponsors found that, as pension plan sponsors
continue to look for ways to reduce risk, almost two-thirds plan to take some
risk-mitigating action in 2015, with settlement strategies topping the list.Read more > |
| Lockheed Reports Reduced DB Obligations from Lump Sums |
| Lump-sum payments from Lockheed Martin’s defined
benefit (DB) pension plan to certain former employees who had not commenced
receiving their vested benefit payments reduced its pension benefit obligation
by a significant amount, the company reported in a filing with the Securities
and Exchange Commission (SEC). The company made lump-sum payments of $427
million in 2014, and the corresponding reduction in benefit obligation was $529
million.Read more > |
