IDA Forsikring's Early History

"It's completely crazy," says Helge Rasmussen, the former Association of Engineers (I-S) chairman, responding to IDA Forsikring reaching 115,000 members.

IDA Forsikring will celebrate its 40th anniversary in 2024. To mark this occasion, we spoke with Helge Rasmussen, not only a former chairman and the first insurance member but also the driving force behind making Denmark's likely cheapest insurance available to IDA members today. He feels proud when he sees the success of the association he helped establish.

"I joined the main board of the Danish Association of Engineers in 1981. At the time, I witnessed an association in financial decline, struggling with increasing membership fees and a growing number of resignations. We couldn't accept that situation; something needed to change," recalls Helge Rasmussen, who was then serving as district chairman for one of the country's two engineering associations on Funen.

Interestingly, Helge was related to the chairman of Popermo, an insurance company that, in the 1960s, offered affordable insurance to police and court employees. Rasmussen recognized the potential for this membership benefit and decided to act. 

"I invited him to lunch and asked if he would help us. Fortunately, he was enthusiastic about supporting the association," adds Helge Rasmussen.

Together, the chairman of Popermo, Helge Rasmussen, and the chairman of the Engineers' Association formed a small group that developed a concept proposal for the Engineers' Association."It's completely crazy," says Helge Rasmussen, the former chairman of the Association of Engineers (I-S), in response to IDA Forsikring reaching 115,000 members.

IDA Forsikring will celebrate its 40th anniversary in 2024. To mark this occasion, we spoke with Helge Rasmussen, not only a former chairman and the first insurance member but also the driving force behind making Denmark's likely cheapest insurance available to IDA members today. He feels proud when he sees the success of the association he helped establish.

"I joined the main board of the Danish Association of Engineers in 1981. At the time, I witnessed an association in financial decline, struggling with increasing membership fees and a growing number of resignations. We couldn't accept that situation; something needed to change," recalls Helge Rasmussen, who was then serving as district chairman for one of the country's two engineering associations on Funen.

Interestingly, Helge was related to the chairman of Popermo, an insurance company that, in the 1960s, offered affordable insurance to police and court employees. Rasmussen recognized the potential for this membership benefit and decided to act.

He encountered significant resistance

If you believe that Helge Rasmussen received praise and recognition for his work, think again.

"There was primarily resistance from the main board, but they did allow me to continue working on the idea," says Helge Rasmussen. This resistance is evident in the Engineer's archive from 1982 to 1986. For instance, we can find a notable outburst during a general meeting of Ingeniøren on May 11, 1984.

"Is the Danish Association of Engineers a purchasing organization or a trade union? Given the focus on membership benefits, insurance offers, and efforts to create discounts on hotel accommodations, one might think it is a purchasing association. However, the primary purpose should be to conduct trade union activities..." it states, among other comments.

Even after insurance had been part of the benefits package for nearly two years, there were still two factions within the Engineers' Association. In Ingeniøren's issue from April 18, 1986, for example, the front page features the headline "Young Peddlers and Older Idealists," along with the accompanying text:

"While younger members of the Danish Society of Engineers appear hesitant, older members seem to have a higher purpose for their membership. Younger individuals prefer more tangible membership benefits—such as low-cost insurance, affordable foreign travel, and cheap oil, according to a survey conducted among ten per cent of I-S members. In contrast, older members are more concerned with the image and reputation of technical engineers in society."

However, the headline must be more accurate when we delve deeper into the article. It reveals that very few members surveyed—regardless of age—opposed having more cash benefits.

 "I've been told that we're not merchants."

Scepticism existed within I-S and at another engineering association, the Danish Society of Engineers (DIF), where an understanding of cash-related membership benefits was lacking.

"I collaborated extensively with DIF during that period and informed them I was ready to start. I asked if they wanted to join. The chairman returned to his main board and later called me to say, 'I have been told that we are not merchants, so we do not want that...,'" explains Helge Rasmussen. He continues, "I just wanted to create a strong association that would interest the members. It should have a large membership base and offer substantial benefits—both financial and opportunities for technological interaction. However, they only focused on union-related matters."

Despite the challenges, Helge Rasmussen persevered with his idea. During several member surveys conducted in the early 1980s, he garnered support from members even though he did not engage with the board or DIF.

Eight out of ten I-S members expressed a desire for more cash benefits. This support remained robust when initial indications suggested that members could save as much as the cost of their membership fee. "Then it becomes easy to market," says Helge Rasmussen.

The fact that IDA Forsikring membership often saves more than the cost of the membership fee still holds. The same can be said for one of the critical factors in insurance pricing.

The study was rejected, and the subsequent one produced the same results

In an article published on November 18, 1983, an engineer describes a thorough investigation into the number of insurance claims filed by engineers as part of their initial efforts to offer insurance to members.

"Around 1,200 people were surveyed about their insurance policies and claims frequency then. The results were so positive that insurance companies questioned their accuracy. Consequently, a follow-up survey involving approximately 1,300 additional members was initiated, confirming the initial findings," wrote the trade magazine.

The insurance claim rate among the engineers was so low that the country's insurance companies found it hard to believe. However, the low claim rate has remained consistent, and even today—40 years later—it is one of the critical reasons IDA Forsikring can provide some of Denmark's most affordable insurance options.

It was finally allowed in 1983

It became increasingly evident that there was a solid foundation for offering affordable insurance to I-S members. After six central board meetings in 1983, Helge Rasmussen and the rest of the group were permitted to form a company that was not fully independent but operated with a reasonable degree of autonomy. Initially, we launched the insurance part in 1984 in collaboration with GF Forsikring and quickly attracted several thousand members despite minimal administrative support.

"There were three of us who made it happen. We didn't have any insurers; we partnered with GF for that, and then we supervised the association's administration," explains Helge Rasmussen.

The Danish Society of Engineers, IDA, was established on January 1, 1995, through a merger of two previous engineering associations: the Danish Society of Engineers and the Danish Association of Engineers. The insurance scheme was part of the 'dowry' that the Danish Society of Engineers contributed to this new organization, which ultimately became IDA Forsikring.

Since then, the number of IDA members has grown to 160,000, and IDA Forsikring has grown consistently.

When asked if he ever anticipated that more than 115,000 members would eventually benefit from IDA Forsikring's low prices, Helge Rasmussen laughs.

"No, I didn't expect that. 115,000 members. It's incredible."

"I allow myself to feel a bit proud. It's still my creation, even though it's now 40 years old. So please take good care of it," says Helge Rasmussen.