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Family Benefits

Life insurance and family benefits

family benefitsThe scheme provides lump sum and pension benefits to your dependants in the event of your death.  The benefits payable will depend on your circumstances at the time of your death.

Payment of lump sum

The lump sum will automatically be paid to your spouse, registered civil partner or nominated non legal partner. If you do not want this to happen you can nominate someone else to receive the benefit using the Death Grant Nomination Form. You should note that the lump sum may be subject to Inheritance Tax if it is not paid to your spouse, registered civil partner or qualifying partner.  If no beneficiary is nominated and you do not have a spouse or registered civil partner, the lump sum can only be paid to your estate. 

Payment of dependants’ pensions

These are payable for life to your legal spouse, registered civil partner, or qualifying partner from the date of your death. If you are not in a legally recognised relationship, you and your partner are required to complete a form to register your relationship. There are criteria that must be met for your partner to qualify for benefits and these will be checked in the event of your death. To nominate a qualifying partner you will need to complete and send us form

To nominate a non legal partner please complete the form SB39.

Children’s Pensions

Children’s pensions are paid until the age of 23.  If the child remains unable to earn a living and the condition existed at the date of your death, the children’s pension can be paid indefinitely.

Death Benefits

Death in Service 

1995 section

If you are an active member of the scheme and your employment is full time, at the time of death your beneficiary will receive a lump sum payment equal to 2 x your final years pensionable pay.  If you are part-time this will be 2 x your actual earnings. 

Survivors pension will be an initial rate short term pension payable from the day after death for a period of six months, at the rate of the monthly pensionable pay/salary at the time of death and will be paid by the employer.

Widows will then get a survivor’s pension payable for life equal to ½ the amount of the upper tier ill-health pension you would have received on the date of your death.  You must have a least two years qualifying service.

Widowers, nominated partners, civil partners will get a survivors pension payable for life equal to ½ the amount of the Upper Tier Ill-Health pension you would have received on the date of your death, based on your membership since 6th April 1988 only.

Children’s pension will be ¼ the amount of your notional Upper Tier Ill-Health pension per child, if there are no more than two children. If there are more than two children the amount is shared equally among them.

2008 section

If you are an active member at the time of death the SPPA will pay a lump sum equal to two years reckonable pay provided you have not drawndown any of your pension.

Survivors pension will be a initial rate short term pension payable from the day after death for a period of six months at the rate of pensionable pay/salary, paid by your employer.

Adult dependants will the get a survivor’s pension payable for life equal to 37.5% of the amount of the Upper Tier Ill-Health pension you would have received on the date of your death.  You must have a least two years qualifying service

Children’s pension will be 18.75% of the amount of your notional upper tier ill-health pension per child, if there are no more than two children. If there are more than two children the 37.5% is shared equally among them.

Death with Preserved Pension

1995 section

If you are a preserved member of the scheme at date of death a lump sum is payable at a rate of 3 x your preserved pension.

Widows will then get a survivor’s pension payable for life equal to ½ the amount of the preserved pension accrued.  No short-term pension is payable.

Widowers, nominated partners, civil partners will the get a survivor’s pension payable for life equal to ½ the amount of the preserved pension accrued based only on service from 6th April 1988.  No short-term pension is payable.

Children’s pension will be ¼ the amount of your preserved pension per child, if there are no more than two children.  If there are more than two children the amount is shared equally among them.

2008 section

If you are a preserved member of the scheme at date of death a lump sum is payable at a rate of 3 x your preserved pension.

Widows will the get a survivor’s pension payable for life equal to 37.5% the amount of the preserved pension accrued.  No short-term pension is payable.

Children’s pension will be 18.75% of the amount of your preserved pension per child, if there are no more than two children.  If there are more than two children 37.5% is shared equally among them. 

Death within 12 months of leaving scheme if benefits remain in scheme

1995 section

If you die within 12 months of leaving the scheme, and your benefits remain in the scheme, a lump is due of three times your annual pension accrued at date of leaving the scheme.

Widows will then get a survivor’s pension payable for life equal to ½ the amount of the Upper Tier Ill-Health pension you would have received on the date of your leaving.  No short-term pension is due.

Widowers, nominated partners, civil partners will get a survivors pension payable for life equal to ½ the amount of the Upper Tier Ill-Health pension you would have received on the date of leaving. This is based on your membership from 6th April 1988 only.  No short-term pension is due.

Children’s pension will be ¼ the amount of your notional Upper Tier Ill-Health pension per child, if there are no more than two children.  If there are more then two children ½ is shared equally among them. 

2008 section

If you die within 12 months of leaving the scheme, and your benefits remain in the scheme, a lump is due of three times annual pension accrued at date of leaving the scheme.

Adult dependants will the get a survivor’s pension payable for life equal to 37.5% of the amount of the Upper Tier Ill-Health pension you would have received on the date of leaving the scheme.  

Children’s pension will be 18.75% of the amount of your notional Upper Tier Ill-Health pension per child, if there are no more than two children. If there are more than two children 37.5% is shared equally among them.

Link to Scottish Government Website