Pension insurance put to the test: Where does your money go in old age?

Pension insurance put to the test: Where does your money go in old age?

Private pension insurance plays a central role in retirement planning, but offers a variable pension deposit that often falls short of expectations. A current study by Stiftung Warentest has shown that of 14 classic pension insurance companies tested, many guarantee less repayments than the total amount paid in. In a model case, a customer paid 200 euros a month for 30 years, resulting in a total of 72,000 euros. Interestingly, in this case, five insurance companies guarantee a repayment of less than 72,000 euros, which is alarming for many future pensioners. Loud chip This raises questions about the reliability of these products.

Hannoversche Versicherung stands out with an increase of 11 percent on the sum paid in, but has deficiencies in the areas of flexibility and transparency. Despite the high guaranteed value that this insurance offers, the customer would have to reach the ripe old age of 92 in order to receive the full amount of the contributions paid back as a monthly pension. This raises the challenge that many retirees are unable to wait that long to get their investment back.

Insurance conditions and customer expectations

From 2025, an upper limit for guaranteed interest rates of 1 percent will also be set for private pension insurance companies. This regulation could further limit the attractiveness of these products and raises questions about the potential returns. test has evaluated several tariffs that guarantee a fixed interest rate and a lifelong pension, but do not offer high returns. It is therefore recommended that insured parties obtain detailed information and compare different providers before concluding a contract.

In the test, which included 14 tariffs, attention was paid to guaranteed pensions and additional costs. Not only the guaranteed services were evaluated, but also investment success, flexibility and transparency of the tariffs. It turned out that the monthly guaranteed pension varies between 200 euros and 240 euros depending on the provider. Such differences could amount to up to 9,600 euros over a period of 20 years.

Long-term perspectives and alternatives

Customers often have to live over 90 years of age to receive a full refund of their deposits. This requires not only long-term planning, but also realistic expectations regarding the performance of these products. Elements such as one-off lump sum payments or lifelong pensions are available to the insured to choose from. For example, the one-off payment for a 37-year-old model customer varies between almost 80,000 euros and almost 67,700 euros, which represents an interesting perspective for younger insured people.

In view of all these factors, unit-linked pension insurance is increasingly being recommended, as it could offer higher returns and therefore more attractive retirement provision. Although these alternatives involve a higher level of risk, they could represent an interesting option for savers who are more willing to take risks.