Independent satisfaction and loyalty study shows MassMutual earned high marks for service despite managing complicated acquisition
(Enfield, CT) – MassMutual’s Retirement Services Division was able to complete its acquisition of The Hartford’s Retirement Plan Group in 2013 without skipping a beat, maintaining record high scores for satisfaction among employers that sponsor retirement plans, according to Chatham Partners, an independent research firm.
Eighty-two percent of plan sponsors said they were “very satisfied” overall with MassMutual in 2013, the same record overall score in 2012, according to Chatham Partners. Chatham, which conducted the 2013 Plan Sponsor Satisfaction and Loyalty study, surveyed sponsors of defined contribution as well as defined benefit plans.
The study showed that MassMutual improved in 10 of 13 key attributes measured by Chatham, including Good Value for the Money, Treats Me as Important, Would Highly Recommend, Actuarial Services, Benefit Administration, Employee Education Services, Fees, Plan Sponsor Services, Personnel, and Processing of Employee Transactions. The Actuarial Services and Benefit Administration categories applied to DB plans only while the Employee Education Services was applicable only to DC plans.
“We are extremely pleased with the high marks we continue to earn from plan sponsors, especially the improvements we’ve achieved, given the complexities associated with the acquisition of The Hartford’s Retirement Services Group in 2013,” said Elaine Sarsynski, Executive Vice President of MassMutual Retirement Services. “These marks demonstrate that we were able to focus on our priorities – providing the best service possible for our customers – despite juggling the acquisition and subsequent transition.”
The Chatham study “reveals a very strong satisfaction level with the company (MassMutual)” among plan sponsors who were previously serviced by The Hartford and subsequently acquired by MassMutual. The acquisition doubled MassMutual’s retirement plan assets under management -- now more than $140 billion -- and increased the number of plan sponsors to more than 30,000.
The ratio of plan sponsors acquired from The Hartford who believe service improved while being serviced by MassMutual in 2013 outnumbered those who thought it declined by 4:1, according to Chatham’s research. Additionally, the ratio climbed to 7:1 for plans that rely on Third Party Administrators (TPAs).
“The results of the satisfaction study affirmed that MassMutual continues to maintain its tight focus on the needs of its customers,” said Joshua Dietch, Managing Partner of Chatham Partners. “The fact that MassMutual was able to score so high while in the middle of a major transition is testament to the company’s dedication to responsive, quality service and effective plan management.”
Other highlights from the Chatham study included:
• MassMutual’s net promoter score – a measure of plan sponsors who would recommend the insurer for retirement plan services to other companies – is 11 points above the industry benchmark.
• 100 percent of Taft-Hartley plan sponsors are “very satisfied” and 100 percent would highly recommend the company to others.
• Overall satisfaction of MassMutual’s clients relying on TPAs achieved record highs, scoring especially high in participant services and plan sponsor services.
• The overall satisfaction score for MassMutual’s defined benefit plan sponsors was 93 percent, an 11 percent increase from the prior year.
“MassMutual is thankful that our sponsors take the time to rate our services and provide the honest feedback that helps us be the retirement provider of choice,” said Sarsynski. “We strive to continuously improve in everything we do.”
For more information about MassMutual’s Retirement Services Division, please contact your financial professional or call MassMutual at 1-800-874-2502, option 4.
About Chatham Partners
Chatham Partners provides customized market research, including win/loss sales analysis and client satisfaction studies, multi‐client research studies, and strategy consulting services that help businesses understand the explicit, implicit, and latent needs of clients and prospects. Our fact‐based analysis and recommendations enable organizations to improve sales processes, client service/retention, product/service offerings, and market perceptions. (www.chathampartners.com)
Founded in 1851, MassMutual is a leading mutual life insurance company that is run for the benefit of its members and participating policyowners. The company has a long history of financial strength and strong performance, and although dividends are not guaranteed, MassMutual has paid dividends to eligible participating policyowners consistently since the 1860s. With whole life insurance as its foundation, MassMutual provides products to help meet the financial needs of clients, such as life insurance, disability income insurance, long term care insurance, retirement/401(k) plan services, and annuities. In addition, the company’s strong and growing network of financial professionals helps clients make good financial decisions for the long-term.
MassMutual Financial Group is a marketing name for Massachusetts Mutual Life Insurance Company (MassMutual) and its affiliated companies and sales representatives. MassMutual is headquartered in Springfield, Massachusetts and its major affiliates include: Babson Capital Management LLC; Baring Asset Management Limited; Cornerstone Real Estate Advisers LLC; The First Mercantile Trust Company; MassMutual International LLC; MML Investors Services, LLC, Member FINRA and SIPC; OppenheimerFunds, Inc.; and The MassMutual Trust Company, FSB.
MassMutual’s Retirement Services Division has been serving retirement plans for more than 65 years. It offers a full range of products and services for corporate, union, nonprofit and governmental employers' defined benefit, defined contribution and nonqualified deferred compensation plans. It serves approximately 2.8 million participants.