Taking care of your loved ones
At a glance
As well as giving you benefits when you stop working, the Plan also offers you reassurance that your dependants will be looked after if the worst should happen.
Take some time to read over the added benefits that are included when you’re a member of the Plan. These can vary depending on your personal circumstances, but usually include:
If you die before you retire, the value of your retirement savings that you’ve built up in the Plan will be paid to your beneficiaries as a lump sum. Currently, this is tax free. To make sure this goes to the right people you’ll need to complete a nomination form on the secure area of the website.
If you die while still working for the Company and contributing to the Plan, your dependant – or dependants – will receive an additional lump sum. If you joined the Plan from 1 October 2012, the value of this benefits will be six times your Pensionable Pay, and your dependants can choose whether some or all of this money is used to provide a pension. If you joined the Plan before 1 October 2012, the value of this benefits will be four times your Pensionable Pay, and another four times your Pensionable Pay to provide a pension for your dependants (though sometimes all benefits may be paid as a lump sum).
If you die after you’ve left work and you’re no longer paying contributions, then the value of your retirement savings will be paid to your family as a lump sum. This is currently tax free.
Nominating a beneficiary
Remember that it’s really important to let the Trustees know who you would like to receive any benefits when you die. If the Trustees don’t have this information, or it’s out of date, this can lead to a delay paying benefits to your loved ones. That can add to the worry and upset for your family at a difficult time – so make sure you update your form to keep things running smoothly. You can update your beneficiaries by logging into the secure area of the website.