To many self-employed persons, the coronavirus pandemic remained a major problem during 2021. It is, of course, particularly difficult for our customers to run a business during lockdown.

For the self-employed, it may therefore be a good idea to put their pension savings on hold to gain more financial leeway during difficult times.

To this end, we decided to extend the initiative launched in 2020 to help those of our customers facing acute liquidity difficulties as a result of the extraordinary circumstances. This meant that we granted deferment of contributions to about 300 self-employed persons in 2021, in particular to a group of self-employed numbering over 36,000 through our close collaboration with Pension for Selvstændige (PFS).

How does deferment work?

Our deferment solution ensures that self-employed persons can suspend their pension contributions for a period without impacting their insurance package, which provides cover if they need to use their health insurance or suffer long-term illness. The self-employed continue to make premium payments, which keep them covered if anything should happen to them. Premium payments will be taken from the existing amount of pension savings, thereby supporting the liquidity of the self-employed.

“Self-employed persons are a special group that are extra vulnerable in the current situation. Through our close collaboration with PFS, we have served thousands of self-employed customers for many years. We are now prepared to give them an extra helping hand to make it safely through this crisis together. In our opinion, the self-employed should not, on top of all their other worries, have to worry about being covered by their insurance if they fall ill, and that is why we lend them a hand,” explains Søren Lockwood, Interim CEO of Danica Pension.

Safety net intact

We have made similar solutions for employees of the self-employed and for other businesses and their employees. According to agreement with the parties involved, Danica Pension has arranged for the businesses to reduce their pension contributions significantly and only make contributions covering their insurance.

“It is very important that our customers have the right insurance covers and that these are maintained for the individual, also in these extraordinary circumstances, as anyone can contract an illness. We fully understand that many businesses and their employees find it difficult to make ends meet here and now, and that is why we offer this solution in an attempt to contribute to our customers’ financial security in these uncertain times,” explains Søren Lockwood.


Facts about PFS

Pension for Selvstændige (PFS) is a non-profit fund established by organisations for the self-employed. PFS’s purpose is to make self-employed persons consider pension issues and to inform them about their insurance and pension scheme options. PFS prioritises personal advice and personal meetings.

PFS’s portfolio comprises 36,000 pension schemes with total pension savings of DKK 36 billion.