Compliance October 14, 2019
PBGC Announces Premium Rates for 2020
The agency notes that there are no scheduled increases (other than indexing) for years after 2019.
Reported by Rebecca Moore
The Pension Benefit Guaranty Corporation’s (PBGC) webpage has been updated to provide the 2020 premium rates for single-employer and multiemployer defined benefit (DB) plans.
For single-employer plans, the per-participant flat-rate premium is $83, up from $80 in 2019. The variable-rate premium per $1,000 in unfunded vested benefits (UVBs) is $45, up from $43, with a per participant cap of $561, up from $541.
For multiemployer plans, the per-participant flat-rate premium is $30, up from $29 in 2019.
The PBGC’s website shows historical rates from 2007. The agency notes that there are no scheduled increases (other than indexing) for years after 2019. And, it reminds DB plan sponsors that for certain distress or involuntary terminations, a special termination premium must be paid to the PBGC for three years.You Might Also Like:
PBGC Says Central States Will Reimburse SFA Overpayment
Central States is currently working with the DOJ to negotiate the repayment of a $127 million overpayment from the PBGC.
Aon Projects PRT Market Will Again Climb Above $40B
2024 has already seen significant activity, with Shell and Verizon both conducting large pension risk transfers in the last few...
Central States Pension Plan Negotiating $127M Repayment With DOJ
With the PBGC director at a subcommittee hearing, House Republicans indicated the PBGC should lower premiums for its single-employer insurance...
« Club Vita Introduces Mortality Tables Considering Geography