UBPAS: Death benefits

What benefits are payable if I die in service before Normal Retirement Date?

If you die before Normal Retirement Date and you were an Active Member at the time of your death, the following will be payable:

  • First, a lump sum of an amount equal to:

If there is any Dependant’s pension payable:

2 x your annual salary at death

or

If there is no Dependant’s pension payable:

4 x your annual salary at death

  • Second, a return of contributions:

The total contributions you paid to UBPAS will be returned.

  • Third, a Dependant's pension:

If you have a Dependant, a pension is immediately payable to the Dependant of two-thirds of the pension you would have received had you stayed in UBPAS until Normal Retirement Date.  The pension is based on Final Pensionable Salary at your date of death and the Pensionable Service you would have completed to Normal Retirement Date (your prospective pension).

This pension will be paid in monthly instalments for the rest of your dependant’s life.

plus

  • Fourth, a child's pension, if you leave a child who
    - is below age 18; or
    - at the discretion of the Trustees, is undergoing full-time education or vocational training.

No more than two of your children can receive a child's pension at any one time. The amount payable to each child depends upon the number of children who are eligible and if a pension is currently being paid to a Dependant:

If there is any Dependant’s pension payable, Child’s pension is:

The pension you would have received had you stayed in UBPAS until Normal Retirement Date x 1/3

or

If there is no Dependant’s pension payable, Child’s pension is:

The pension you would have received had you stayed in UBPAS until Normal Retirement Date x 4/9

 What benefits are payable if I die in service after Normal Retirement Date?

You will receive the same benefits as if you had died in service before Normal Retirement Date plus the Five Year Guarantee.

What benefits are payable if I die after I have retired and my pension has started?

The following benefits will be payable:

  • A lump sum equal to the Five Year Guarantee

plus

  • A Dependant's pension: If you have a Dependant, a pension is immediately payable to the Dependant of two-thirds of the pension you were receiving.  This pension will be paid in monthly instalments for the rest of your Dependant’s life.

Note: The Five Year Guarantee is the lump sum payable if you die within five years of retirement and which will be the balance of five years' pension payments. For example, if your pension is £10,000 per annum and you died on your second anniversary of your retirement, the Five Year Guarantee lump sum is £30,000 (£10,000 x 3).  If you have retired more than five years, no lump sum will be payable.

What benefits will be payable if I die before Normal Retirement Date while receiving a pension because I retired on the grounds of ill health?

The following benefits will be payable:

  • A lump sum equal to the Five Year Guarantee

plus

  • A Dependant's pension: If you have a Dependant, a pension is immediately payable to the Dependant of two-thirds of the pension you were receiving. This pension will be paid in monthly instalments for the rest of your Dependant’s life.

Who will receive the cash sum payable on my death?

This lump sum will normally be paid to your nominated beneficiary or beneficiaries, although the Trustees are not legally bound by this.

It is very important that you keep your Expression of Wish Form up to date if your circumstances change. Forms are available from the Pensions office.

Who receives the Dependant's pension?

This pension is normally paid to your lawful spouse. However, the pension may, at the discretion of the Trustees, be paid to somebody else who was financially dependent or inter-dependent with you, who was living with you in a relationship closely resembling marriage.

It may also be paid to an individual who the Trustees are of the opinion was wholly or partially financially dependant upon you at the date of your death.  The Trustees will consider, but are not bound to follow, any nomination that you make as to the person you wish the Trustees to treat as your Dependant.  You can nominate your dependants on Expression of Wish Form, which is available on this web site or from the Pensions office.

Important: If your circumstances change, please remember to update your nomination by completing a new form.

If you are not survived by a spouse, the Trustees may decide that no Dependant's pension shall be payable or that a reduced pension will be payable.

Will the pension payable to a Dependant be reduced if he or she is younger than me?

If the Dependant is more than 10 years younger the pension would be reduced, but the Trustees have the power in certain circumstances to reduce or waive this reduction. This provision does not apply to children's pensions.

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