The proportion of Employees Pensions Act (TyEL) premium income policies to be transferred in 2021 rose to 3.7 per cent, up from 3.5 per cent in 2020, data from the Finnish Pension Alliance (Tela) has revealed.

The figures showed that the proportion of TyEL insurance portfolio policies to be transferred also increased to 5.9 per cent, compared to 4.6 per cent in 2020 and 5.8 per cent in 2019.

In addition to this, the number of insurance policies transferred under the Self-Employed Persons’ Act (YEL) saw a slight increase, from 4.8 per cent in 2020 to 4.9 per cent in 2021.

Ilmarinen benefitted the most from transferred policies in the past year, gaining around €96.8m in TYEL transfer volumes during 2021, while Veritas gained around €18.25m in TyEL transfer volumes.

In contrast, Elo and Varma lost around €88.6m and €26.4m as a result of transferred policies, respectively.

Transfer activity rates have fluctuated throughout the year, with previous data from Tela revealing a year-on-year increase in activity in Q2 2021, although the total number of pension insurance policies then fell slightly in Q3.

Finland’s pension system allows savers to transfer their pension insurance policy at four different points in the year: January, April, July and October; provided the policy has been with the same company for at least one year prior to this.

The earnings-related pension system in Finland is a statutory scheme that sees contributions made by both employees and employers.

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