Renata Gezan Milik
Episode · #324
MOJA MIROVINA Renata Gecan Milek
Guest Renata Gezan MilikHosted by Marijana MatkovićMay 3, 2026
Renata Gezan Milik
About this episode
What you'll hear in this conversation
Croatia’s pension system is often seen as a labyrinth, particularly the interplay between its first pillar (generational solidarity) and the second (individual savings). For many, understanding how their contributions translate into future income remains a significant challenge. Renata Gecan Milek, director of HR MOD, steps into this complex landscape as a new competitor in the market for second and third-pillar pension payouts. Her company’s entry offers much-needed choice where previously there was none. This conversation clarifies the system’s intricacies, revealing how policy shifts have changed the game for future retirees, and what it means to truly prepare for retirement in a system still finding its footing.
Insights from the conversation
What to take from this episode
01
HR MOD launched in January, just as the number of retirees from the second pension pillar is set to surge, with a significant increase expected in 2027 from the 1962 birth cohort. Entering a market just as a previously niche product is poised to scale can create immediate relevance and competition.
02
Before 2019, combined pensions were less attractive. But a 'mini pension reform' in 2019 allowed 15% of saved funds to be paid out immediately and added a supplement to the first-pillar portion, making combined pensions 'more attractive' and 'more profitable.' Policy changes, even seemingly minor ones, can dramatically reshape market demand and create opportunities for new entrants.
03
Despite Raiffeisen MOD operating for 18 years as the sole provider, HR MOD's founder received direct 'feedback from current policyholders: why don't we have competition, why don't we have a choice?' Even in regulated markets, latent demand for choice can signal a viable entry point for new competitors.
04
In the first pension pillar, 'you don't save,' as Renata Gecan Milek puts it. It operates on a 'generational solidarity' principle, where current contributions fund current retirees, a distinction often misunderstood by the public. Clear communication about the fundamental nature of a financial product—whether it's a savings vehicle or a transfer system—is crucial for public understanding.
05
Renata Gecan Milek breaks down the 'magic formula' for first-pillar pensions, explaining how personal points depend on the age of retirement, years of service, and average salary relative to the national average. Even seemingly opaque government formulas can be broken down into understandable components, making the system less daunting for individuals to navigate.
06
After explaining the first pillar's mechanics, Renata immediately poses the critical question: 'Who will pay those contributions so that I have an adequate pension from the first pillar?' A system based on generational solidarity, while robust in theory, faces existential questions when demographic shifts or emigration patterns threaten the contributor base.
07
HR MOD's business plan anticipated that 'every second policyholder would choose us,' a prediction that has materialized, with the market 'distributed evenly.' When a new entrant provides a genuine alternative in a previously monopolistic market, customers often distribute themselves fairly evenly between the options, validating the need for competition.