Insolvency protection / CTA

Insolvency protection / CTA – THI secures assets against insolvency

Background

Assets, contributions or obligations are to be secured against insolvency and administered on an ongoing basis – for the benefit of employees, pension beneficiaries or other beneficiaries.

THI’s role

Insolvency protection is THI’s founding competence: established in 2006 to secure pension benefits, THI has continuously expanded this area – with trust assets under management of around EUR 31.5 million as at 31 December 2025. A CTA structure is implemented on the basis of proven contractual and procedural modules; the time required depends on the scope – from a few days for a simple protection structure to around six months for an international employee participation programme with ongoing KYC processes.

Typical services

Contractual Trust Arrangements (CTA) for pension and working time credit (Wertguthaben) obligations – including the creation of plan assets eligible for offsetting (Section 246(2) of the German Commercial Code, HGB)
insolvency-proof protection of provisions – for example for liability deductibles – in favour of third parties, with actuarially supported coverage reviews and annual adjustment
twofold protection of the beneficiaries: a claim against THI and a direct claim against the account-holding bank (contract for the benefit of third parties, pledge of the account receivables)
independent determination of the security event on the basis of defined evidence; payment or repayment within defined periods
ongoing administration, anti-money laundering checks on the beneficiaries, reporting (German/English)

Target group

Companies and institutional bodies with pension, participation or protection programmes – from the corporate group to hospital and social welfare providers.