Securian's Behavior-Driven 401(k) Communication Is Actionable for Employees, Convenient for Employers

Jan 28, 2010, 00:00 ET from Securian Financial Group

ST. PAUL, Minn., Jan. 28 /PRNewswire/ -- Employees who contribute little or nothing to their Securian retirement plans have access to powerful tools aimed at helping them understand why they need to save and encouraging them to take action.

Securian's growing suite of customized education and easy-to-use enrollment tools are designed to target the right participants, at the right time, with the right message, to elicit the right behavior.

Securian recently rolled out the Personal Savings Illustration, customized specifically for employees who are eligible but not participating in the plan. It uses data unique to each individual to show the results they could experience under different savings scenarios. This personalized, easy-enroll tool complements Securian's personalized Annual Checkup, a gap analysis that shows the difference between the employee's savings goals and the actual amount saved.

"The value in personalized communication for employees is that it simplifies choice and presents the information in a personally relevant manner," said Jo Dahlen, marketing director, Securian Retirement. "The Personal Savings Illustration includes an easy-enroll card with pre-selected choices. The employee simply signs the card and drops it in the mail."

Securian's personalized Annual Checkup, now in its fourth year, is provided via employees' quarterly statements.

"Behavior figures strongly in the distribution method," added Dahlen. "The statement is the most-read plan document. It's the ideal platform for explaining how their current balance relates to their future retirement security."

The results of the Annual Checkup are encouraging. Despite the economic downturn, the majority of those who received it are staying the course or saving more. More than half of the plans that received the Checkup experienced a modest increase in their average contribution rates.

Critical to the introduction of any new service is making it easy for employers to adopt it.

"We aim to reduce our clients' administrative work," added Dahlen. "The Annual Checkup helps plan sponsors fulfill their fiduciary responsibilities with no additional cost or effort because we're using data they've already given us to perform routine plan administration."

In addition to automatic enrollment, Step-Up Savings, auto rebalancing, risk- and age-based asset allocation portfolios and quick enroll tactics, Securian also sends messages in the quarterly plan statements and on the web that are customized by age and employee behavior.

Since 1880, Securian Financial Group and its affiliates have provided financial security for individuals and businesses in the form of insurance, investments and retirement plans. Now one of the nation's largest financial services providers, it is the holding company parent of a group of companies that include Minnesota Life Insurance Company.

SOURCE Securian Financial Group