IDEAS home Printed from https://ideas.repec.org/a/prg/jnlaop/v2018y2018i3id604p35-46.html
   My bibliography  Save this article

Does an Attractive Pension Product Design Sell by Itself? The Experience of the Czech Republic

Author

Listed:
  • Jiří Šindelář
  • Michal Erben

Abstract

This paper deals with the experience of third pillar reform in the Czech Republic, executed in 2013. The core of our study is formed by a comparative analysis of newly introduced supplementary pension savings and its substitute products (investment funds, life insurance) from two main aspects: product features and distribution features. The outcomes are supported by empirical sales and population penetration of the surveyed products. The results indicate that even a pension product with a very attractive product design, such as supplementary pension savings, will be hampered by its substitutes as long as its distribution features are unattractive. This is an important lesson, particularly for the discussed European solution, the pan-European portable pension product (PEPP).

Suggested Citation

  • Jiří Šindelář & Michal Erben, 2018. "Does an Attractive Pension Product Design Sell by Itself? The Experience of the Czech Republic," Acta Oeconomica Pragensia, Prague University of Economics and Business, vol. 2018(3), pages 35-46.
    • Handle: RePEc:prg:jnlaop:v:2018:y:2018:i:3:id:604:p:35-46
    DOI: 10.18267/j.aop.604
    as

    Download full text from publisher

    File URL: http://aop.vse.cz/doi/10.18267/j.aop.604.html
    Download Restriction: free of charge
    File URL: http://aop.vse.cz/doi/10.18267/j.aop.604.pdf
    Download Restriction: free of charge
    File URL: https://libkey.io/10.18267/j.aop.604?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Braun, Alexander & Schmeiser, Hato & Schreiber, Florian, 2016. "On consumer preferences and the willingness to pay for term life insurance," European Journal of Operational Research, Elsevier, vol. 253(3), pages 761-776.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jiří Šindelář & Petr Budinský, 2024. "Hidden Consequences of Consumer Protection on the Financial Market: Regulation-introduced Bias," Prague Economic Papers, Prague University of Economics and Business, vol. 2024(3), pages 277-318.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kallio, Markku & Halme, Merja & Dehghan Hardoroudi, Nasim & Aspara, Jaakko, 2022. "Transparent structured products for retail investors," European Journal of Operational Research, Elsevier, vol. 302(2), pages 752-767.
    2. Hein, Maren & Goeken, Nils & Kurz, Peter & Steiner, Winfried J., 2022. "Using Hierarchical Bayes draws for improving shares of choice predictions in conjoint simulations: A study based on conjoint choice data," European Journal of Operational Research, Elsevier, vol. 297(2), pages 630-651.
    3. Florian Schreiber, 2017. "Identification of customer groups in the German term life market: a benefit segmentation," Annals of Operations Research, Springer, vol. 254(1), pages 365-399, July.
    4. Barwitz, Niklas, 2020. "The relevance of interaction choice: Customer preferences and willingness to pay," Journal of Retailing and Consumer Services, Elsevier, vol. 53(C).
    5. Chen, An & Ferrari, Giorgio & Zhu, Shihao, 2023. "Striking the Balance: Life Insurance Timing and Asset Allocation in Financial Planning," Center for Mathematical Economics Working Papers 684, Center for Mathematical Economics, Bielefeld University.
    6. Akaichi, Faical & Costa-Font, Joan & Frank, Richard, 2020. "Uninsured by Choice? A choice experiment on long term care insurance," Journal of Economic Behavior & Organization, Elsevier, vol. 173(C), pages 422-434.
    7. Jonas R. Jahnert & Hato Schmeiser & Florian Schreiber, 2022. "Pricing strategies in the German term life insurance market: An empirical analysis," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 25(1), pages 19-34, April.
    8. Daliana Luca & Hato Schmeiser & Florian Schreiber, 2023. "Investment guarantees in financial products: an analysis of consumer preferences," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 48(4), pages 906-940, October.
    9. Chen, Chang-Chih & Chang, Chia-Chien & Sun, Edward W. & Yu, Min-Teh, 2022. "Optimal decision of dynamic wealth allocation with life insurance for mitigating health risk under market incompleteness," European Journal of Operational Research, Elsevier, vol. 300(2), pages 727-742.

    More about this item

    Keywords

    pension reform; third pillar; investment fund; life insurance; distribution;
    All these keywords.

    JEL classification:

    • G22 - Financial Economics - - Financial Institutions and Services - - - Insurance; Insurance Companies; Actuarial Studies
    • G28 - Financial Economics - - Financial Institutions and Services - - - Government Policy and Regulation
    • H55 - Public Economics - - National Government Expenditures and Related Policies - - - Social Security and Public Pensions
    • J32 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Nonwage Labor Costs and Benefits; Retirement Plans; Private Pensions

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:prg:jnlaop:v:2018:y:2018:i:3:id:604:p:35-46. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Stanislav Vojir (email available below). General contact details of provider: https://edirc.repec.org/data/uevsecz.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.