The Pension Program at NAV

Challenge

Work on pension reform began in 2001 when the first Stoltenberg government established the Pension Commission. The goal was to create a new, modern pension system that would enable self-service through automation and provide better decision-making support to case workers.

In February 2009, the government introduced a bill proposing a new old-age pension under the National Insurance Scheme. The proposal is based on the principle that it should be worthwhile to work, and the proposed new model for earning and drawing old-age pensions introduces rules regarding year-round accrual, life expectancy adjustment, and flexible pension withdrawal between the ages of 62 and 75. It will also be possible to receive a phased-out pension and to freely combine work and retirement without any reduction in pension benefits.

The new pension accrual rules, including improved pension accrual for unpaid care work and unemployment, took effect in 2010. At the same time, pension accrual for initial military service was introduced. Flexible withdrawal of old-age pensions and new rules for pension adjustments took effect in 2011. The life expectancy adjustment was

Solution

The system went live on schedule and within budget in 2011. Users can log in to the NAV website to view their own pension information and see when their payments will be made. This modern pension system also provides valuable decision-making support to case workers by making the same set of regulations available across all platforms.

Throughout the entire NAV Pension Program, from 2005 to the present, Decisive has been responsible for the technical implementation of PREG, the regulatory module of the Pension Program. This module ensures that individuals receive the pension to which they are entitled and that the amount is calculated correctly.

The first part of the program involved implementing existing regulations into new technology. The final part focused on implementing new regulations effective as of 2011. Since 2011, the following new regulations have also been incorporated into the solution using Decisive: 2015 (new disability benefits) and 2016 (new old-age pension).

Decisive has provided the lead regulatory architect, methodology lead, and process lead for the solution based on Blaze Advisor BRMS.

Result

The system has automated much of the pension calculation and disbursement process. Among the benefits are the following:

• In 2011 (the first year), 30% of new applications for old-age pensions were approved fully automatically through self-service. The original target was 10%
• In 2016, the self-service rate had risen to 37.5% and the automation rate stood at 62.1%. Number of cases processed: 1,283,736.
• The automation rate for all approved cases is approximately 88%.

The system has since won an award from Computerworld for “Best International Public Sector Portal Solution,” among other accolades. This is a highly prestigious award.