Aviva’s new pension skill will allow individuals to easily check their pot value, although more may need to be done to encourage them to do so on a regular basis.
Aviva has announced the launch of a new Amazon Alexa skill which will allow customers to ask “Alexa, ask Aviva for my pension value.”
Amazon Alexa insurance?
Amazon Alexa has become a new channel insurers have been using to interact with customers. So far insurers have been using the device to develop skills to help customers understand their policy terms and conditions, and more recently to get a quote. But Aviva is the first to develop a skill for pensions.
A pension skill will be useful for consumers. A large issue in the pensions market is that individuals do not understand how much they have saved, and consequently many do not save enough towards retirement as they should. Aviva’s pension skill will mean customers can easily ask and get the value of their pension immediately.
The only barrier may be how many customers actually think to ask the value of their pension, and how often they will do so. Pensions are often not a priority for individuals until they reach nearer to retirement age.
The success of the skill will therefore depend on making pension saving a priority. A solution could be Aviva also partnering with Alexa to notify individuals of and to read them their annual statement which highlights the value of their pension.
The move is also interesting considering the delay and potential abandonment of the pension’s dashboard which sought to inform customers of their total pension savings across all of their pension pots in addition to the state pension to highlight their current estimated income in retirement.
If more pension providers created an Alexa skill, consumers may find it easier to understand their pension savings across providers.
It seems like it could only be time before financial advice could be provided through Amazon Alexa, especially with the rise of robo-advice propositions.
Future moves could include advising how much more individuals need to save in order to reach a desired income in retirement. It could also span advice for how to withdraw money in retirement and allowing customers to track if spending is sustainable.