Alterssicherung: Gesunkene Zufriedenheit und Skepsis gegenüber privater Vorsorge
Press Release of May 26, 2004
The Socio-Economic Panel (SOEP) survey conducted by the DIW Berlin and the Infratest Social Research Institute shows a sharp decline between 1992 and 2002 in the working-age population’s satisfaction with retirement insurance. According to figures published in the current DIW Berlin Weekly Report (Wochenbericht 22/2004), the share of satisfied respondents fell during this period from 37% to 25%, while the share of dissatisfied respondents rose from 30% to over 40%.
The younger generation was particularly dissatisfied. The findings suggest that there has been a decline in trust amongst younger contributors, in particular. They seem to be uncertain as to what extent they themselves will still be able to benefit from the system, and also as to what extent the contributions they are making today will guarantee them an adequate pension in old age.
However, the general dissatisfaction with the statutory pension insurance system is by no means leading (as one might have expected) to an increased preference for pension provision based on market-economy principles. On the contrary, the very respondents who are dissatisfied with the statutory system expect the state to assume greater responsibility for providing cover against the risks of invalidity and old age. The DIW Berlin’s conclusion, therefore, is that given the lack of trust in private pension schemes, government subsidies towards “Riester pensions” are not the right way to bridge the gaps in statutory pension insurance. What are needed are simple statutory regulations that improve the transparency and security of private provision so that the basic willingness to take out private insurance is translated into actual policies.
However, the general dissatisfaction with the statutory pension insurance system is by no means leading (as one might have expected) to an increased preference for pension provision based on market-economy principles. On the contrary, the very respondents who are dissatisfied with the statutory system expect the state to assume greater responsibility for providing cover against the risks of invalidity and old age. The DIW Berlin’s conclusion, therefore, is that given the lack of trust in private pension schemes, government subsidies towards “Riester pensions” are not the right way to bridge the gaps in statutory pension insurance. What are needed are simple statutory regulations that improve the transparency and security of private provision so that the basic willingness to take out private insurance is translated into actual policies.
