Dutch Pensions Ombudsman raises concerns over 14 funds that do not offer clear information for disabled participants

The Dutch Pensions Ombudsman has said it is “worrying” that 14 of the country’s pension funds do not provide “clear” information on their website for those that are incapacitated and unable to work.

In the Netherlands, many pension schemes have the rule that if you are permanently incapacitated for work and therefore can no longer work, you will still continue to accrue a pension. You receive pension accrual as if you were still working without paying a premium for it but there is usually a one- to two-year period in which you have to let the fund know, or you can miss out.

In its 2019 annual report, the Pensions Ombudsman, Henriëtte de Lange, called on pension fund boards to formulate a reasonable policy on how to deal with people who do not request a waiver of premium in the event of incapacity for work and to put this on the website.

Its latest analysis found that the majority have complied, but 14 still do not have clear information on their website for members. Of 125 funds surveyed, 113 pension funds provide information about waiving the premium in the event of occupational disability.

For 69 pension funds, the incapacitated participant does not have to do anything and the fund itself requests information from the UWV and ensures that the participant receives this non-contributory pension accrual. For 34 funds, the participant still has to take action themselves but is often proactively reminded of this.

    Share Story:

Recent Stories

Podcast: The benefits of private equity in pension fund portfolios
The outbreak of the Covid-19 pandemic, in which stock markets have seen increased volatility, combined with global low interest rates has led to alternative asset classes rising in popularity. Private equity is one of the top runners in this category, and for good reason.

In this podcast, Munich Private Equity Partners Managing Director, Christopher Bär, chats to European Pensions Editor, Natalie Tuck, about the benefits private equity investments can bring to pension fund portfolios and the best approach to take.

Podcast - The power of three: Using Common Contractual Funds to improve tax outcomes for investors
Large asset owners are still investing in equities in a way where they are taxed on their income. The implication is that they get a poorer return. They need to, and can, improve this, but how?

In this podcast, AMX Head of Client and Manager Development, Aaron Overy, and AMX Product Tax Specialist, Kevin Duggan, discuss with European Pensions Editor, Natalie Tuck, about three options to help ensure good withholding tax outcomes for institutional investors.
Mitigating risk
BNP Paribas Asset Management’s head of pension solutions, Julien Halfon, discusses equity hedging with Laura Blows

Europe’s pensions challenges
Francesca Fabrizi meets Matti Leppälä, Secretary General and CEO of PensionsEurope, to discuss the key aims and objectives of the association today.