Pension Survey 2025 shows: Many people are saving too little for retirement, safety remains the most important factor

At the initiative of 14 European insurance and financial associations, European policymakers, academics, and industry representatives are discussing as part of European Retirement Week how to make Europe’s pension systems future-proof. In this context, Insurance Europe, the European insurance federation, has presented the new Pension Survey 2025. A broad survey conducted in twelve European countries examined how citizens across Europe save for old age. The results clearly show what people expect from a modern pension system. 

Growing pension gap: Four in ten do not save privately at all

Europe is facing a demographic shift: fewer and fewer working people are financing the pensions of a growing number of retirees — a development evident in almost all Member States. All the more alarming, then, is that 41% of respondents currently make no supplementary private pension savings at all. Even though many are aware of the importance of private savings, they often lack the financial means or clear information.

At the same time, the study highlights the enduring need for security: 81% of respondents want products that guarantee at least the capital they paid in. Especially in times of economic uncertainty, this shows how indispensable reliable, long-term stable solutions remain. This value is remarkably consistent across countries and underscores how important predictable, lifelong retirement income is to people.

Focus on safety remains a cornerstone in Germany

Germans have a particularly strong preference for safety — and when it comes to investment products, the desire for reliable protection mechanisms plays a significantly larger role than the European average. The in-depth analysis shows that guarantees are a key driver of product choice in Germany. Even with investment products, the desire for security is much more pronounced than in Europe as a whole.

“The results show that 81% of respondents want products with capital protection. That underscores the great importance of reliable guarantees. With the upcoming Riester reform, guarantees should therefore not be completely abandoned. In the payout phase, what matters is a lifelong income,” says Jörg Asmussen, CEO of GDV.

The finding is clear: stability remains central, while many people also want a degree of choice within guaranteed structures. Insurers are already providing exactly these combinations: modern guarantee components paired with flexible elements.

What motivates people to start saving

It is also interesting to see what actually prompts people to begin saving for retirement. Personal conversations with financial advisers are by far the most important trigger. Government information campaigns, by contrast, play hardly any role. At the same time, people are increasingly using digital tools but still want access to personal advice. For the future, this means digital tools such as pension dashboards will become more important, but they will not replace personal guidance. Both must go hand in hand.

A European framework that fits people’s needs

A key focus of European Retirement Week will also be discussions on revising the PEPP framework. PEPP (Pan-European Personal Pension Product) is a standardised, voluntary private pension product that can be offered cross-border in the EU. The study’s results provide a clear orientation: Europe does not need a one-size-fits-all state solution, but rather flexible models that respect national systems. At the same time, a broad range of risk-mitigation strategies should be possible, from guarantees to lifecycle models. And private pension products must be designed so that they not only benefit individuals but also support long-term investment in Europe.

The German results make it clear that a modern pension system must take people’s different life realities seriously: they need security and the confidence that saving is worthwhile.

The study provides important momentum for reforms

European Retirement Week not only highlights the differences in initial conditions across European countries but also shows how strong the shared interest in stable pension systems is. For both Germany and Europe, one thing is clear: only a strong combination of statutory, occupational and private pensions can safeguard living standards in old age and relieve pressure on social systems sustainably.