Industry Watch 2025
March 09, 2026
Video: 2025 Industry Watch highlights
Watch this video for a quick overview of some key market insights from 2025.
The 2025 PRT market proved resilient – jumbo deals aside
Despite challenging external market forces, including tariffs and geopolitical risk, the pension risk transfer (PRT) market held strong in helping DB plan sponsors de-risk their pension plans.
Sources: Limra and Sun Life
115
plan sponsors purchased group annuities.
Around 25 had previously purchased group annuities. Around 90 purchased group annuities for the first time during this challenging year!
39K
plan members had part or all their DB pension benefits secured.
Over 175K plan members since 2021.
Inflation-linked annuities remain a strong market contributor
For the second year in a row, inflation-linked annuity purchases made up over $1B of PRT market volume. With transactions ranging from less than $1M to over $400M, indexed plans of all sizes are transferring inflation risk to insurers.
$1.3B
of inflation-linked annuities were purchased by DB plan sponsors.
35
DB plan sponsors transferred inflation risk to insurers.
After a slow start to the year, the market mobilized quickly
With strong market opportunities and healthy plan positions, insurers moved with swift resolve in the second half of the year to meet demand and deliver on plan sponsors’ timelines.
Sources: Limra
Consultants are ready to help with de-risking goals
10+
consulting firms provided expert de-risking advice leading to the completion of a PRT transaction.
% PRT market share - 2025 |
% PRT market share - 5 yr avg |
|
|---|---|---|
WTW |
26 |
32 |
Mercer |
22 |
18 |
Aon |
21 |
20 |
Telus Health |
18 |
15 |
Normandin Beaudry |
4 |
6 |
Eckler |
1 |
3 |
Others |
8 |
6 |
'Others’ include firms such as Robertson, Eadie & Associates, Segal, NFP, Paul Chang Consulting, and Mondelis – their 5-year average market share is highest amongst this category.
Source: Respective consultant firms.
Secure surplus with favourable group annuity pricing
Group annuities are an attractive option for DB plan sponsors to manage their surplus.
Read about DB pension surplus and group annuities
PRT innovation solves complex DB pension challenges
Collaboration among plan sponsors, consultants and insurers is key to advancing new ways of structuring transactions to suit the unique considerations for each plan.
In 2025, plan sponsors successfully completed transactions for plans with:
Illiquid assets
Creating premium payment schedules designed to fit the need of liquidating these assets.
Deferred premium payments
Enabling flexibility to secure the benefits of plan members immediately.
Complex plan provisions
Including portability requirements, complex indexation features and remarriage provisions.
Plan sponsors are stacking up their transactions in big amounts
12
Canadian organizations have now transferred over $1B of their DB pension liabilities to insurers – including three new organizations since 2023.
While a few organizations passed the $1B mark in one transaction, many took a phased approach with as many as 14 transactions.
Pension protection for Canadians
Sun Life made more than $1.4B in annual pension payments to cover over 130,000 Canadians.
Deep PRT expertise
Sun Life has transacted over $24B since embarking in the Canadian PRT market in 2008, maintaining a 33% market share over this period.
Source: Limra
Looking ahead to 2026
Vibrant early 2026 pipeline with many innovative deal discussions underway.
DB Solutions is excited to be part of the newly formed Sun Life Asset Management pillar.
Group annuities provided by Sun Life Assurance Company of Canada, a member of the Sun Life group of companies.
Results and information in this infographic are based on Sun Life estimates unless otherwise noted.
Register now for Sun Life’s Focus 2026 webinar
Join the DB Solutions team and our guest speakers as we discuss innovative solutions to help you achieve your de-risking objectives during this live webinar on April 16, 2026, at 2:00 p.m. ET.
Stay informed
Get the DB Solutions Insights email for the latest insights on managing DB pension risk.
Speak with an expert
We partner with plan sponsors to provide innovative, customized solutions that reduce DB plan risk.