Pension De-Risking

by Jacqueline Lawson

Will Your Pension Be Protected?

A fully funded U.S. pension plan has long been a goal of the National Chrysler Retirement Organization (NCRO). This is great news, however, another trend in U.S. industry generally regarding pension plans could have a substantial impact on our pensions: “de-risking.”

Pension de-risking happens when a company sells its fully-funded pension plan(s) to an insurance company and then takes the financial obligation off their books. When a company sells the plan, the insurance company converts the retiree benefit into an annuity. While recipients don’t lose their money they do lose federal protection from the Pension Benefit Guaranty Corporation (PBGC) and the Employee Retiree Income Security Act (ERISA).

Although FCA US LLC. has previously annuitized some U.S. salaried retirees, the NCRO does not have a window into the company’s plans for the fully funded pension plan. We’re watching carefully for any developments in this area and will discuss de-risking with FCA US LLC. leadership when appropriate. Of particular concern is the reality that, as insurance products, annuities are not protected should the insurance company default. They are presently governed only by the patchwork of state laws that regulate the insurance industry.

So what can you do? Help the NCRO protect your pension as we monitor these developments and work with
the NRLN on legislative initiatives by

As always, we will keep you informed.


NCRO believes that the information on this website was accurate at the time of its publication or presentation. NCRO makes no warranty of any kind regarding this information and is not liable or responsible for any losses or damages that may be sustained due to reliance on this information. This information does not in any way constitute legal or professional advice. The agencies and websites referred to below are independent of NCRO and NCRO is not responsible for any information or actions of such agencies or websites.



Join Us Now … We Want You As A Member!

The NCRO is open to all non-union Chrysler retirees and spouses, surviving spouses and employees. To become a registered member of the NCRO, please select the membership form that best suits your needs from the blue highlighted links below. NCRO membership dues are $25 per year.


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Mail In Dues Payments:

P.O. Box 174
Washington Township, MI. 48094

Our Office Address:
(All other correspondence)

901 Tower Dr. Suite 420
Troy, MI 48098

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National Chrysler Retirement Organization

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