Benefits payable on death
If you die while an active member of the Scheme, your employer will notify UK Pensions Operations who will start the process of paying any death benefits.
We've included the process below.
You can nominate who you wish to receive the tax free lump sum death benefit by completing a Letter of Intent form available on My Online Pension. Forms are also available to complete and return to UK Pensions Operations.
If you are not married you can also complete a Dependant Nomination form to nominate someone who is financially dependent or interdependent on you to receive the dependant's pension. This is also available via My Online Pension.
Any death benefits will be subject to the Lifetime Allowance.
The death-in-service lump sum payable would be equal to four year’s uncapped pensionable salary in the last year of your employment. For example:
The lump sum is paid by the Trustees who will take into account the person or people you have nominated on your Letter of Intent form.
This means the lump sum usually isn't subject to Inheritance Tax and it can be paid without delay.
If you have a spouse or a civil partner a dependant’s pension would be payable for the rest of their life from the day following your death. Benefits would also be payable to eligible children.
Children includes step-children and adopted children. All children must be under age 18, or under age 21 if they are in full-time education or vocational training. The Trustees have the discretion to pay benefits to children up to the age of 23 if they remain in full-time education. If the Scheme's Medical Adviser confirms that a child can’t support themselves financially due to illness or incapacity, the Trustees can use their discretion to pay benefits for the rest of the child's life.
If you’re not married or in a civil partnership, you can nominate a partner, dependant or co-dependant if they are financially dependent on or interdependent with you.
If someone dies in service
What's the process?
3 We'll send your next of kin a questionnaire asking for information about potential beneficiaries
3 If you're married we’ll ask for additional details to set up a dependant’s pension; and pensions for any eligible children:
- Death certificate (photocopy)
- Birth and marriage certificates (originals or certified copies)
- Bank form.