This means that if you pass away during the pension pay-out period, your pension will continue to be paid out to the registered beneficiary/beneficiaries for the remainder of the period. If you pass away before pay-out has begun, the pension will be paid to the registered beneficiary/beneficiaries for 5 years.
You can opt for survivor protection if you have PLUSpension. If you pass away before retirement, your registered beneficiary/beneficiaries will receive the pension you would otherwise have received at age 65.
A beneficiary is a person who receives compensation from your insurance if you pass away before your insurance has been fully paid out.
In accordance with the Income Tax Act, only the following persons can be made beneficiaries:
a) spouse or former spouse
b) cohabitee/registered partner or former cohabitee/registered partner
c) children/step-children/foster-children – your own or those of a person in categories (a) or (b) above
Yes, you can cancel or add to the repayment cover/survivor protection at any time until you start receiving your pension. Once pension pay-outs commence, you can change the registered beneficiary but you cannot cancel or add repayment cover/survivor protection
If you have opted not to have survivor protection and you pass away before you start getting your pension or during the pension pay-out period, your insurance capital is shared between the remaining policyholders. This is known as inheritance gains. Inheritance gains also means that if you have opted out of survivor protection, you receive a somewhat higher pension for yourself.
