It is never too late to start preparing for retirement, especially if you are less than ten years away from it. Many have contracted pension savings, but they are not fully aware of the differences, advantages, and options when it comes to pension payouts from the second pillar. How to choose a pension insurance company for a secure payout? How can one even calculate what it will be?
To find answers to these and many other questions, we spoke with Kristina Kozić, head of contracting and sales at Raiffeisen Pension Insurance Company (MOD), who has an impressive background in market and investment banking as well as pension insurance of the second and third pillars.
After establishing the right to a pension from mandatory pension insurance, one must submit a request for a payout from the second pillar. What should be considered when choosing a pension insurance company for the payout?
– The choice of a pension insurance company is individual for each future user. For some, the amount of the pension is the only important factor, while others may prefer to divide the pension payout among different payers. However, we certainly want to draw our future users’ attention to not rush into a decision, but to thoroughly inform themselves after receiving the informational calculation from Regos. Security and trust in the pension insurance company, as well as experience, market presence, and reputation are crucial when selecting a future pension payer.
Raiffeisen Pension Insurance Company has been active since the beginning of the pension reform. How is it performing today? How many pensions have been paid out so far with the help of RBA MOD?
– Raiffeisen MOD was established in 2002, and in the initial years, payouts were mostly related to pensions from the third pillar. Today, the situation is different as most of the contracts pertain to pensions from the second pillar. With the amendment of the Pension Insurance Companies Act that came into force in 2019, allowing a one-time payout from the second pillar of 15 percent of the total capitalized funds, the number of users opting for a combined pension payout from both the first and second pillars has sharply increased. To date, we have over 40,000 contracts for pension payouts. Some of these have expired as they pertained to temporary pension payouts from the third pillar, but most contracts relate to lifetime pensions, which continue to be paid regularly.
What are the advantages of Raiffeisen MOD?
– We manage our users’ assets responsibly and invest them cautiously to ensure long-term stable and regular pension payouts. We are a team of financial experts who find the best pension model for each user. Aware of the importance of the state of the pension system in Croatia, we are dedicated to updating relevant topics in the public and media space, and we are also the first pension insurance company established in Croatia. We have a long-standing tradition and business success behind us. We have been present in the market since 2002.
