Since 2016, a team from the »Financial Mathematics« department has been classifying state-subsidized pension products on behalf of the »Produktinformationsstelle Altersvorsorge GmbH (PIA)«. A model that has set standards and has now been adapted to make occupational pension contracts objectively comparable.
Mathematics Creates Transparency: Secure Provision for Retirement
In recent years, the basic PIA model has established itself as the industry standard in Germany. An adapted model for comparing rates could also support policyholders in the area of company pension plans. This is because there are more different tariffs in this pillar of retirement provision and the offers include different model calculations and key performance indicators. It is difficult for interested parties to evaluate the products. Therefore, the ITWM team is now working with Debeka in the project »Transparency Initiative for Occupational Pension Plans« for more transparency. The insurance company has developed a new pension product for company pension plans, which is to be offered in 2023. Similar to other pension products, the key product figures important for sales are to be determined on the basis of a mathematical model. The goal here, too: To create an assessment framework for tariffs that enables a fair comparison of offers. Ideally, a cross-pillar standard should emerge that makes it easier for policyholders to assess their retirement provision as a whole.