The Ministry of Social Affairs and Health confirmed the actuarial principles that apply to Varma’s TyEL administrative cost contribution for 2027. The company-specific administrative cost contribution will fall by an average of around six per cent, but in some cases even more than 15 per cent.
The administrative cost contribution collected by earnings-related pension companies is used to cover the costs arising from the administration and implementation of insurance. The level of the administrative cost contribution is determined by the pension company’s operational efficiency. For individual companies, the amount of the administrative cost contribution is affected by the company’s size in particular.
The other components of the TyEL contribution for 2027 will be confirmed later in the autumn.
Our strong solvency guarantees the best client bonuses
Client bonuses paid on the basis of the pension company’s solvency are an even bigger factor in the total cost of TyEL insurance than the administrative cost contributions. Thanks to our strong solvency, we once again paid our customers the best client bonuses in the sector.
Varma has been the most solvent pension insurance company in Finland for many years now, which means higher client bonuses and, in turn, lower earnings-related pension insurance contributions for our customers. Thanks to our very strong solvency, we are extremely well-positioned to pay the sector’s best client bonuses also in the coming years.
Further reading:
News article, 9 March 2026: Strong result ensures the largest TyEL contribution discounts for our customers