18th May 2015

Scottish Widows: Helping your clients understand Pension Freedoms

Our servicing and communications strategy

Our new comprehensive servicing and communications strategy will cover every key customer touch point and has a consistent call to action to seek financial advice:

Improved customer communications

• Our customer pre-retirement mailings will provide clearer engagement with customers at key points in their retirement journey.
• We’ve enhanced the retirement packs we send to customers 6 months and 6 weeks before their retirement date. The packs include a comprehensive booklet providing regulatory information, directing customers to explore their options on the Retirement Planning website and encouraging them to seek financial advice. You can view this booklet here.

New support team

• We fully recognise the importance of effective customer service in the run up to April and beyond.
• On 17 February I advised we were in the process of recruiting 400 dedicated and specially trained colleagues to educate and support customers on their new retirement options. This service aims to save you valuable time by providing customers with the information they need and will prepare them for the conversations they will be having with you.
• The team will be adopting an initial triage approach to prepare customers for fuller discussions and to promote the need to seek financial advice and guaranteed guidance through the Government’s Pension Wise service.
• This team will not provide financial advice, and if customers need support we will guide them to both financial advisers and Pension Wise.
• From 23 March, a dedicated hub to support adviser queries will be available. Call your usual number and we will quickly direct your call to the right people who are dedicated to supporting you at this crucial time.
• Remember, you can access many of your clients’ policy valuations online. An ideal, convenient way of obtaining this information in real time.

Scottish Widows new 'Retirement Planning' website

We already have a clear, comprehensive and informative website called Retirement Explained which encourages consumers to start thinking about their plans for the future and includes interactive case studies and a pensions options comparison table. It encourages them to shop around, to make use of the Government’s Pension Wise service and promotes the benefits of good financial advice.

Retirement Planning is our new online content

• Following customer research, we have introduced a 5 step guide to help consumers through their Retirement Journey.
• We’ve added useful comparison tools, explanatory videos and guidance on making the right decision.
• There’s a brand new tax calculator that helps customers understand how emergency tax on lump sums might affect them.
• Consumers can also view calculations of their retirement income across the different income options available. This tool in particular, may be a useful resource for your clients to use as part of their research before they seek financial advice.

The new pension freedoms have revolutionised the way we think about retirement planning. We believe the role of providing financial advice continues to be critical in making sure customers take time to think about the best choice and plan how to provide for the future they want.

We understand the importance of pre-advice engagement and education at this time and hope that our servicing and communications strategy will give your clients the information they need to be fully prepared for their discussions with you.

Pensions, Pension Reforms