Family Benefits

If you die in the employment of the Company and as a member of the Scheme, the following benefits would be paid:

  • the value of any Pension Account and the value of any Pay Related pension you have built up;

plus

  • 8 x best Contribution Pay in the last three complete Scheme Years*.

These benefits will be used to provide dependants’ pensions and/or lump sum benefits to your beneficiaries as the Trustee shall decide.

If you die after the leaving, the following amounts will be available to provide death benefits:

Investment Related Section

The amount equal to the balance (if any) in your Pension Account.

Pay Related Section

Your transfer value at date of leaving calculated on a basis specified in the Scheme rules and then revalued in line with the performance of a notional portfolio of investments agreed periodically between the Company and the Trustee; or, if greater, the statutory cash equivalent. Note that transfer values can be reduced in some circumstances.

The amounts will be used to provide dependants’ pensions and/or lump sum benefits to your beneficiaries as the Trustee shall decide.

If you die after starting to draw your pension from the Scheme:

No death benefits are payable from the Scheme if your benefits were secured at retirement by an annuity with an insurance company. Any death benefits would be payable in accordance with the annuity terms agreed with the insurance company.

If your pension is paid from the Scheme:

  • If you die within five years of retiring and before your 75th birthday, the balance of five years’ pension payments will be paid to your dependants, subject to HMRC requirements.
  • Any dependant’s pension payable will depend on whether you arranged for one to be provided when you started to draw your own pension.

To make sure the Trustee of the Scheme knows the person (or persons) you would choose to receive any of the above death benefits, please complete a nomination form. You may change your nomination at any time.

*There may be certain circumstances in which the level of life cover provided by the Scheme will be restricted. We will let you know if any special circumstances apply to you.
 

© Clarks Pensions 2014