Veritas’ strong growth continued in 2024. The company gained a record number of new customers, and sales increased by more than 50% compared to the previous year.
During the year, Veritas gained more than 6,800 new TyEL and YEL insurance policies to manage. At the end of year, nearly 71,000 employees and 16,000 entrepreneurs were insured by Veritas. Pension was paid out to 40,000 pension recipients.
At Veritas, we invest in the services we provide, services that are in demand. All earnings-related pension insurance companies offer the same YEL and TyEL insurances, but we are the only pension insurance company to provide each customer with a dedicated contact person.
It is important that customers get the help they need when they need it. That’s why we always promise to answer calls in less than 20 seconds. Sometimes, customers find themselves in difficult situations and it’s important at those times that the customer gets the help and support they need.
Pension system reform
During 2024, the labour market organisations were engaged in preparations for a pension reform, which was then agreed on in January. The objective of the reform is to ensure the financial sustainability of pension security as well as a sufficient benefit level.
The most fundamental change in the reform relates to the investment of earnings-related pension funds. The reform allows earnings-related pension companies to increase the equity weight of their investment portfolios. I believe that this will be a welcome change.
Raising the equity weight will increase the likelihood of higher investment returns in the long term, but at the same time, it will also increase yield fluctuation. Therefore, in bad times, returns may be weaker than they are currently and, correspondingly, in good times, they may be better than they are now.
One important aspect in terms of employer customers is the stabilisation of the TyEL contribution rate at 24.4 per cent for the years 2026–2030.
In December 2024, the Government also launched an assessment of the development needs of the YEL system. Jukka Rantala, PhD, was chosen as the rapporteur for the assessment, supported by a monitoring group appointed by the Ministry of Social Affairs and Health.
The assessment will be very beneficial, as there are many challenges when it comes to determining YEL income. Self-employment has also taken new forms, and the legislation does not fully correspond to today’s definition of entrepreneurship. A change is definitely required, as entrepreneurs deserve a worthy pension system.
Emissions from investments have halved
Climate change mitigation is one of our most significant focus areas within responsible investment. We have set environmental targets for our investment activities: we are aiming for a carbon-neutral investment portfolio by 2035. In addition, we are striving towards carbon-neutral real estate investments by 2030.
In 2024, we achieved a significant milestone when we managed to reduce the carbon dioxide emissions of our entire investment portfolio by already 55 per cent compared to the baseline in 2020. This means that we are moving at an accelerated pace towards achieving a carbon-neutral investment portfolio. As far as real estate investments are concerned, we have also made progress, and the achievement of our carbon neutrality target by 2030 is looking ever more realistic.
It’s time for investors to take responsibility for defence
One of the basic principles of responsible investment is social responsibility. The defence industry plays a key role in maintaining the security and stability of society, and ensuring national security is essential to protect societies from external threats. It protects human rights, safeguards fundamental freedoms and promotes social stability.
It is time for investors to contribute to the strengthening of the European defence industry – public funding alone is no longer enough. The earlier approach that excluded the defence industry from investments is no longer the right approach for this day and age. Europe needs to adopt a state of mind that allows for the use of private capital and institutional investors as a means of reinforcing the European defence industry.
Corporate culture creates a strong foundation for responsible activities
The heart of our strategy prioritises the well-being and satisfaction of employees. Veritas’ target culture – the Veritas culture concept – guides our activities and supports the implementation of our strategy. The aim of the concept is to improve the well-being, job satisfaction and commitment of our employees. Corporate culture creates a strong foundation for responsible activities.
Our investments in employee experience, an open work culture and the development of a more responsible working life were recognised in November when Veritas won Oikotie’s Responsible Workplace competition for small and medium-sized organisations. This result was made possible thanks to all Veritas employees, because corporate culture and responsibility are not built alone, but are shared tasks of the entire organisation.
I strongly believe that our good employee experience is also visible to the customers. Satisfied and healthy employees are the key to successful customer service and long-term productivity.
Over the past year, we have focused our development efforts on the feedback culture, competence sharing and leadership and supervisory work at Veritas. These are key areas that strengthen employee well-being as well as the customer experience.
We also regularly survey our employee experience. Last year, the company achieved a record high eNPS result (57) from the survey. I strongly believe that when you look after your employees well, they, in turn, will look after the customers well.
One factor that corporate culture and responsibility share is that they constantly evolve. As a result, our work to promote a strong corporate culture and responsibility will continue.
Carl Haglund
Chief Executive Officer