Our pension scheme comprises retirement savings, insurance cover for anticipatory pension, certain critical illnesses and death as well as a healthcare programme.

The number one priority is retirement savings that will eventually supplement state pension benefits and labour market supplementary pension benefits (ATP). 


A typical pension scheme

Most of PensionDanmark’s members have Standard Cover, while a small group of members have Basic Cover or Individual Cover.

  • Standard Cover – most members have this cover
  • Basic Cover has been designed for members with small contributions and part-time employment (smaller benefits but otherwise identical to Standard Cover)
  • Individual Cover has been designed for members comprised by a salaried employees’ agreement and with relatively high salaries (salary-adjusted anticipatory pension cover but otherwise identical to Standard Cover)

Pension contributions are distributed such that the maximum allowed amount is allocated to a member’s Retirement Account, while 50% of the remainder is allocated to an annuity pension scheme and 50% to a lifetime pension scheme. 


Returns and payout

Members receive a return on their savings that reflects the market return on PensionDanmark’s investments, and returns are paid into members’ pension accounts on a monthly basis. Members’ risk profiles are determined by their age, and investment risk is scaled down according to the policyholder's age.

Members are largely free to decide when and how their pensions should be paid out. This is intended to ensure a smooth transition from life as an employee to retirement living.