A recovery plan stipulates the measures that a pension fund wishes to implement in order to improve its financial situation.
Our financial position
The financial position of a pension fund is expressed as a percentage. This is the current coverage ratio. Every month, our fund releases a publication on the current state of affairs as shown by this graph.
Pension funds report their current coverage ratio to the supervisory authority, De Nederlandsche Bank (DNB), on a monthly basis. They also report what is known as the policy coverage ratio, which is the average of the current coverage ratios over the last twelve months.
Insufficient reserves
Our policy coverage rate is below an important threshold. It is now 107,8%, which is lower than the required coverage ratio. This means that our fund has too few buffers to absorb major setbacks. The recovery plan outlines how our fund can regain its financial health and how long it will take for this to happen. ‘Healthy’ means that the policy coverage ratio will once again exceed the required coverage ratio.
Recovery period
Our fund's recovery plan has been updated. The recovery period for our fund is 10 years. This period ensures that the consequences for all members can be spread over several years. The fund wishes to minimise as much as possible the probability that current pensions and accrued pensions will be reduced. The recovery period means that employees, former employees, and pensioners are’ ‘affected’ in equal measure, which ensures a fair weighting of interests.
More information
This website provides more information about our recovery plan.