The Dutch parliament has rejected proposed legislation that pension funds with less than 100 members should be obliged to reinsure their schemes.
On November 4, parliament amended the proposal from a quantitative to a qualitative basis, leaving the Dutch Verzerkeringskamer (VK) pension fund regulator to decide if a scheme is adequately funded.
Nicholas Obolonsky, secretary to the Dutch OPF association of company pension funds, says: “The VK will now look at whether the assets of a scheme are solid and how the management is organised.
“The proposal was rather arbitrary. Why should a fund with 99 members be any less safe than one with 100 members?”