a.s.r. is an important player in the changing Dutch pension market, well-positioned to capture the opportunities from the market on the back of new pension legislation. The portfolio consists of Defined benefit (DB) as well as Defined contribution (DC) schemes, with an overall market share of 32%. The total customer base consists of some 66 thousand schemes with 2.4 million participants.
a.s.r. offers a full range of pension products, including various DC options for employers and both fixed and variable pension products for employees at retirement. For employers with DB schemes, a.s.r. provides the option to purchase indexations of these rights. Additionally, for pension funds that prefer not to transfer their accrued rights to the new system under the Future Pensions Act (Wet toekomst pensioenen - WTP) but wish to transfer them to an insurer, a.s.r. offers a pension buy-out product.
Distribution of pensions takes place via independent advisors. a.s.r. maintains an important relationship with the advisory channel.
A large number of customers is served by the two Institutions for Occupational Retirement Provision (IORP): ASR Premiepensioeninstelling N.V. and Aegon Cappital B.V. These two IORPs are separate legal entities and are merged per 1 January 2025.
Market
Since the WTP came into effect on 1 July 2023, the pensions market is in full swing. The main purpose of this act is to enable all pensions to become contribution-based with individual pension capitals. Communications and advice on customer options and choices form important parts of the WTP.
All existing contracts must be adapted to this act before 1 January 2028. New contracts will be subject to the new regulations immediately. Consequently, all DB schemes will be converted into DC schemes in the coming years, however existing DB claims will remain in place.
In order to prepare for these changes, a.s.r. has developed a new administration system for all its DC products, with the aim of further digitalisation of communications and guidance on choices, while managing these products in a cost-efficient way. Customers expect to be able to arrange their financial affairs themselves, online, and a.s.r. aims to facilitate this. Together with TKP, a.s.r. also works on integrating the administrations of the two DB portfolios of a.s.r. and Aegon, resulting in an efficient platform for DB schemes in the future.
Strategy and achievements
With a strong market position and a wide range of pension solutions, a.s.r. leverages substantial scale and skill benefits. Such as its extensive experience in participant activation and option guidance, which are crucial factors in the transition to the Future New Pension Act (Wet toekomst pensioenen - WTP). Furthermore, a.s.r. is well positioned and ready to capture the opportunities that arise from the market for buy-outs of pension funds.
The current pensions strategy consists of five focus points:
Customer: a.s.r.'s customers, employers and their employees receive uniform customer service and support. Whilst implementing new legislation, transformations, and integration work, a.s.r.'s primary focus remains on the customer.
Transformation: a.s.r. is creating a scalable pension company and building a joint culture that puts the participant at the centre. Additionally, a.s.r. is taking the first steps in the use of (generative) AI.
Sustainable value creation: a.s.r. creates value for customers, shareholders, employees, and society. a.s.r. aims for sustainable returns.
Partners: a.s.r. collaborates with its partners with a long-term focus, developing, training, and innovating to transform pensions together.
In Control: a.s.r. complies with all current legislation and regulations at all times and is in control of performance and processes.
To effectively manage the major transformation projects within a.s.r. pension, a transformation board has been established.
Additionally, Plexus, the future-proof IT solution for Pensions, went live for new business at the end of 2023. At the beginning of 2024, the Employees' Pension product was successfully migrated to the upgraded landscape. In 2024, a.s.r. successfully converted the first 1,000 schemes to a Future Pensions Act-proof scheme. In 2025, work will continue on optimising the landscape and the underlying customer processes. The remaining migrations within the DC proposition will follow to Plexus.
a.s.r. has confirmed the first buy-out, in which a pension fund transfers its assets and liabilities to a.s.r. a.s.r. recently announced the second buy-out of approximately € 1.6 billion which is subject to the approval of the DNB. The transfer of both pension funds will increase the assets and liabilities of a.s.r. by almost € 1.7 billion. Next to these realised transfers, a.s.r. is well positioned for further buy-outs.
The NPS-c measures customers' satisfaction during contact moments. The 2024 NPS-c result remained stable at 61 (2023: 62).
(score: -100 to 100)
Outlook for 2025
In 2025, a.s.r. will continue to focus on growing the business and retention of existing customers, while executing on the integration of the a.s.r. and Aegon NL pension businesses.
The implementation of the WTP is in full swing, and a.s.r. will support its customers with the transition to the new legislation.