(Extracted from OP's original question)
I came up with this alternative:
PipeSecurity pipeSecurity = new PipeSecurity();
// Allow Everyone read and write access to the pipe.
pipeSecurity.SetAccessRule(new PipeAccessRule(
"Authenticated Users",
new SecurityIdentifier(WellKnownSidType.AuthenticatedUserSid, null),
PipeAccessRights.ReadWrite, AccessControlType.Allow));
// Allow the Administrators group full access to the pipe.
pipeSecurity.SetAccessRule(new PipeAccessRule(
"Administrators",
new SecurityIdentifier(WellKnownSidType.BuiltinAdministratorsSid, null),
PipeAccessRights.FullControl, AccessControlType.Allow));