At a glittering ceremony in London's Park Lane Hilton Hotel, The Pension Lab and their client Aegon were announced as winners of the prestigious Best Platform Technology award at the Schroders UK Platform Awards 2024. This award celebrates a collaborative project between a technology provider (The Pension Lab) and a platform (Aegon), acknowledging a solution that demonstrates superior technology, excellent customer service, and significant business impact.
The winning project showcased a fully digital, RAG-rated pension transfer comparison service designed to transform the traditional pension transfer process, providing automation, real-time tracking, and enhanced member engagement. The collaboration highlighted both companies' commitment to innovative technology and industry leadership, particularly in addressing key issues like pension tracing, consolidation, and reuniting members with lost pensions.
Scott Phillips, CEO and founder of The Pension Lab, said: “This recognition is a testament to the collaborative spirit and technological innovation of both The Pension Lab and Aegon. I’m proud to see how our joint project it is already making a difference to Aegon's efficiencies while at the same time helping to improve the financial futures of scheme members.”
Delivering Superior Customer Outcomes
The Pension Lab and Aegon project was judged based on its ability to provide a best-in-class solution from a customer perspective, delivering positive business outcomes while enhancing the overall user experience. The judges evaluated key factors including the project’s market uniqueness, its delivery within time and budget, and its adherence to industry standards for security, reliability, and regulatory compliance.
Nick Roy, Director, Client & Partnership Development at Aegon, noted: “We are thrilled to share this award with The Pension Lab. At Aegon, our vision is to make the pension experience as seamless and transparent as possible for our members. With £26.6 billion in lost pensions across the UK, our collaboration with The Pension Lab is more than just a technological partnership - it’s a mission to reconnect people with their hard-earned savings.”
By transforming the pension transfer journey, this partnership provided members with enhanced opportunities to improve their retirement outcomes through consolidation, all while adhering to emerging regulations like Consumer Duty. “Aegon’s commitment to Consumer Duty is evident in the platform solution we’ve built,” added Roy. “It puts our members at the centre of the process, ensuring they have the information and tools needed to make informed financial decisions.”
Key Innovations Driving Success
The project delivered several industry-first features, making it the only fully digital, RAG-rated pension transfer comparison service that seamlessly integrates bulk transfer consent, digital letters of authority, pension tracing, and comparison. This unique combination enables members to consolidate pensions in a simple and secure manner, without the typical paperwork burden associated with such processes.
Key features of the service include:
1. Bulk Transfer Efficiency: The system automates and simplifies the bulk transfer journey for employers, employees, and Aegon’s administration team. The process tracks transfers in real-time, ensuring all members are moved across efficiently.
2. RAG-Rated Pension Comparison: The comparison tool presents charges, benefits, and features in an easy-to-understand RAG (Red, Amber, Green) format, allowing members to make informed decisions about pension consolidation.
3. Elimination of Paperwork: The solution eliminates the need for paper-based processes, including letters of authority and consent gathering. Everything is digital, contributing to Aegon’s sustainability goals of reducing paper usage and postal costs.
4. Real-Time Member Engagement: The platform encourages members to engage with their pensions at a critical point of change, offering free access to tools to help them find lost pensions and consolidate assets. Real-time tracking and automatic Management Information (MI) reports provide updates to employers on transfer exercises, helping measure success and drive further engagement.
This technological transformation also supports Aegon’s broader strategic goals, including a 20% increase in successful bulk transfers, from 55% to 75%. By increasing member engagement and asset retention, Aegon can now target lower-value schemes, leading to further business growth.
The Power of Collaboration
At the heart of this success is the collaboration between two businesses that share a passion for innovative technology and a vision for addressing cross-industry challenges. Aegon, as the UK’s largest investment provider, leveraged The Pension Lab’s cutting-edge technology and extensive research to create a solution that not only serves their members but also offers a scalable, sustainable solution to the pension industry as a whole.
Scott Phillips highlighted the importance of this collaboration: “The success of this project is a clear example of what can be achieved when two businesses are aligned in their goals. At The Pension Lab, we deliver technology that not only solves problems but actively enhances the member experience. Partnering with Aegon enables us to take this a step further, creating a unique solution that addresses real-world challenges faced by pension schemes today.”
Leading the Charge on Consumer Duty
This solution also aligns with Aegon’s commitment to Consumer Duty, a regulatory framework designed to ensure financial institutions act in the best interests of their customers. “Consumer Duty isn’t just a regulatory requirement for us,” added Nick Roy. “It’s central to our business philosophy. This partnership with The Pension Lab demonstrates our dedication to improving member outcomes by providing better information, greater protection, and superior service.”
Looking to the Future
Both companies have ambitious plans for future collaboration, with potential extensions to new portals and customer groups already on the horizon. The Pension Lab’s technology has paved the way for further innovation, enabling Aegon to continue enhancing their offering in the competitive pension market.
The Schroders UK Platform Award serves as a milestone achievement, but it also highlights the exciting opportunities ahead. With this successful project as a foundation, Aegon and The Pension Lab are well-positioned to lead the charge in transforming pension transfers, ensuring a more secure, efficient, and member-focused future.