Pension and annuity providers using Origo's Options transfer initiative have reported continued progress in Q1 2010, according to figures released today by the ABI. The news means more customers are experiencing faster transfers than ever before when moving to a new pension or annuity provider.
Average transfer times remained steady for the third successive quarter, at 11 calendar days for OMO transfers, despite the addition of several new providers and a major increase in the numbers of transfers completed via the service. Twenty providers are now using Options for OMO and Immediate Vesting Personal Pension (IVPP) transfers, with 13 providers live for pension transfers.
The improvements achieved to date by Options have also been extended to customers with occupational defined contribution pension schemes, following the extension of the service to cover these types of transfers in June. Further new joiners are also expected in the coming months.
Over 14,000 OMO and IVPP transfers were completed on Options in Q1 2010, up 53% since Q1 2009. The average Q1 transfer time was 11 calendar days - down from a pre-Options industry average of 31 days. 36% of transfers were completed in less than seven days, and a further 47% in less than 14. Abbey Life and Windsor Life joined this part of the service in April, as did Scottish Life in July.
Average pension transfer times have fallen from a pre-Options industry average of 36 days to just 10 calendar days in Q1 2010. Over 9,000 pension transfers were completed in Q1, with 44% of these completed in less than seven days and a further 44% in less than 14 days. Abbey Life, Friends Provident, AXA and Nucleus are the latest providers to go live for pension transfers, bringing the total to 13. Nucleus is the first wrap provider to join Options, with others expected to follow shortly.
"Options is proof of the industry's commitment to improving customer service, not just in the OMO and pension transfers space but more broadly. The initiative has handled major increases in volumes and participating providers with ease and, in the case of pension transfers, even delivered improvements on the previous quarter. This is testament to the efforts of participating providers and Options itself."
"Origo won its second award for Options in March, scooping the ‘Best Use of Business-to-Business E-Commerce' award at the Financial Sector Technology awards. This follows its award for ‘Innovation in Business Improvement' at the Scottish Financial Enterprise Awards in October 2009.