Sample PIB Versus Realistic Calculation
When reporting the effective costs of a product, providers are obliged to use the most expensive fund for their calculation(s)and to exclude opposing cost-reducing effects (»maximum principles«). Cost-reducing effects are, for example, the frequent reimbursements from fund companies to the insurer, which are passed on to customers. A list and explanation of the usual cost-reducing effects can be found in the study on pages 5 and 7.
Realistic calculation: For this purpose, the cost calculation was not based on the most expensive fund, but on a fund (ETF) that is very often chosen by consumers in new business. Other common cost-reducing effects that played a role in the calculation are shown in detail in the study, see page 7. The researchers at Fraunhofer ITWM deliberately did not use the individual PIBs: This is because, although the effective cost calculation carried out therein is based on the individually selected funds, the usual cost-reducing effects in practice are also ignored here – just like in the sample PIB.