DEATH BENEFITS

Death of a non-pensioner Member prior to NRA

On the death of a member, a widow's or widower's pension of 50% of the member's pension accrued to the date of death would be payable.

If a member is not married at the date of death, a lump sum equivalent to the member's accumulated contributions plus interest at 2½% per annum would be payable.

Death of a pensioner

On the death of a pensioner, a widow's or widower's pension would be payable, equal to 50% of the pension that would have been payable had the pensioner survived but ignoring any pension surrendered for a tax free lump sum or any reduction due to early retirement.

Should death occur within 5 years of retirement, a lump sum would be payable representing the balance of pension instalments due in the 5 year period.

General Comments

A widow's or widower's pension would be payable to the person the member is legally married to at date of death.

If a widow or widower is more than 10 years younger than the member, a reduction is applied for each year in excess of 10 years.

Lump sum death benefits are paid at the discretion of the Trustees as to the payee and do not form part of the deceased's Estate thereby not attracting Income or Inheritance tax.

To assist the Trustees in deciding who should receive any lump sum payable on death, an Expression of Wish form should be completed. The Trustees would take account of any Expression of Wish form completed but would not be bound by it.