Almost a third (36 per cent) of schemes said if pricing is equal, member experience would be the deciding factor between choosing between a new market entrant and an established provider, according to a poll by LCP.

The poll, conducted during a webinar on the pension risk transfer market, asked attendees what would influence their choice between a new market entrant and an established provider, found that member experience is rising up the agenda for schemes when selecting an insurer.

Less than one in 10 (8 per cent) said that they felt well-informed about the differences between providers, while around 25 per cent thought or had assumed the providers all had very similar offerings.

With more options now available, LCP emphasised that the market is no longer “one-size-fits-all” and argued that schemes need to prioritise what will matter most to their members.

LCP partner, Imogen Cothay, said that the market is “increasingly competitive”, with both established insurers and new entrants investing in how they differentiate themselves.  

“Member experience is a big part of that, and it’s not just about what they offer, but how clearly those differences are communicated to schemes,” Cothay commented.

LCP Pension Risk Transfer team senior consultant, Katie North-Walker, added that which insurer to select is the “most important” decision that trustees will make for their members, yet she said many are still in the early stages of understanding what the different insurers actually offer.

North-Walker emphasised that bridging this knowledge gap is “essential” for making well-informed decisions.

“Schemes need to ask the right questions of each provider to ensure the best outcome for their members,” she said.

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