Implementation of 1e-pans to large companies

Implementation of 1e plans for large companies — What are the main challenges?

On behalf of your­pen­si­on — collec­ti­ve foun­da­ti­on, the Lucer­ne Uni­ver­si­ty of App­lied Sci­en­ces and Arts — Busi­ness has writ­ten a stu­dent the­sis enti­t­led “Chal­len­ges in the imple­men­ta­ti­on of 1e plans in lar­ge com­pa­nies”. In a first step, inter­views with com­pa­nies that alrea­dy rely on 1e plans were con­duc­ted to iden­ti­fy the chal­len­ges of imple­men­ta­ti­on. Thanks to the expe­ri­ence alrea­dy gai­ned by the­se com­pa­nies, recom­men­da­ti­ons for effi­ci­ent and tar­ge­ted imple­men­ta­ti­on could be deri­ved in a second step.

Communication — Key to acceptance by employees

Com­mu­ni­ca­ti­on plays an essen­ti­al role during the imple­men­ta­ti­on pro­cess. Due to the dif­fe­ren­ces bet­ween 1e plans and con­ven­tio­nal pen­si­on fund solu­ti­ons, employees must be infor­med spe­ci­fi­cal­ly and pre­cise­ly about the 1e plan. They must under­stand the dif­fe­ren­ces to the pre­vious solu­ti­on. Com­pa­nies have cho­sen to use the fol­lo­wing infor­ma­ti­on chan­nels or a com­bi­na­ti­on of them: e‑mails, leaf­lets, work­shops, infor­ma­ti­on mee­tings and road­shows. It is important that the com­mu­ni­ca­ti­on pro­cess is clear­ly defi­ned in advan­ce. Employees must recei­ve the necessa­ry infor­ma­ti­on and have defi­ned con­ta­ct per­sons in case of any uncer­tain­ties. The rese­arch has shown that in cases of unclear and insuf­fi­ci­ent com­mu­ni­ca­ti­on, the resi­stance and scep­ti­cism of employees was very high.

Digital access — Must have for large companies

A fur­ther fin­ding of the stu­dy was that lar­ge com­pa­nies expect digi­tal access for their insu­red per­sons in the con­text of 1e solu­ti­ons. The insu­red per­sons should have effi­ci­ent and easy access to their data, to the invest­ment stra­te­gy with per­for­mance details and be able to chan­ge stra­te­gies inde­pendent­ly online.

Risk disclosure and investment strategy selection — Employees need support

Risk dis­clo­sure, risk pro­filing and invest­ment stra­te­gy selec­tion are core pro­ces­ses for employees in 1e plans. Rese­arch has shown, that in the absence of a gui­ded pro­cess, insu­red per­sons are not con­cer­ned about invest­ment stra­te­gy selec­tion and are choo­sing the default stra­te­gy in 95 % of the cases. This result clear­ly shows that the­re is a need to edu­ca­te insu­red per­sons about invest­ment risks and to recom­mend an invest­ment stra­te­gy based on the risk pro­fi­le. This is the only way for the insu­red per­sons to be able to make an effec­ti­ve deci­si­on.

Recommendations for action already implemented

In order to make the your­pen­si­on 1e solu­ti­on more attrac­ti­ve for lar­ge com­pa­nies, the know­ledge gai­ned has alrea­dy been imple­men­ted into the offer and the online plat­form. For examp­le, the onboar­ding pro­cess with risk infor­ma­ti­on, risk pro­filing and stra­te­gy recom­men­da­ti­ons have been com­ple­te­ly digi­ta­li­zed. This pro­vi­des insu­red per­sons with the foun­da­ti­on for assu­ming respon­si­bi­li­ty and actively selec­ting the appro­pria­te invest­ment stra­te­gy. In addi­ti­on, this pro­cess is tailor-made for each insu­red per­son. As a result, the insu­red per­sons recei­ve exact­ly the per­so­nal and rele­vant infor­ma­ti­on they need. For instance, in the onboar­ding pro­cess, the decla­ra­ti­on of bene­fi­cia­ries is only addres­sed for unmar­ried poli­cy­hol­ders, as it is irrele­vant for mar­ried poli­cy­hol­ders. In the future, your­pen­si­on will con­ti­nue to impro­ve and expand its digi­tal offer in order to pro­vi­de all com­pa­nies and insu­red per­sons with trans­pa­rent, digi­tal and effi­ci­ent ser­vice.

Decem­ber 19, 2017 / Ivo Blätt­ler / trans­la­ted from Ger­man