Death Benefits

In the event of your death whilst in receipt of a KPS-FS pension in respect of your own service with the Company, a Dependant’s Pension and/or Child Allowance may become payable.

The dependant’s pension is half of your pension at date of death. If you were married or had entered into a Civil Partnership when you die your spouse or civil partner will receive the dependant’s pension, provided you were living together. If you had been married for less than one year and your spouse is more than 20 years younger than you, the Trustee may reduce the dependant’s pension.

If you were not living with your spouse or if you are not married or in a civil partnership, the dependant’s pension may at the Trustee’s discretion be paid to another person if they were financially dependent upon on you. The Trustee will carefully consider the circumstances of your dependant at the time of your death to decide if they qualify for the dependant’s pension.

Under the Scheme Rules a dependant is defined as a member’s widow, widower, civil partner or child or someone who is financially dependent on the member or financially interdependent with the member, at the date of the member’s death.

If there is someone in your life that you feel should receive a dependant’s pension and they are not your spouse or civil partner, please ensure you complete the KPS-FS Beneficiary Form.

If you leave one child, they will receive 25% of your pension at date of death. If you leave more than one child, the total paid to them will be half your pension. The Trustee will then split the total allowance between your children.

Allowances are paid until the child reaches age 18, but the Trustee may continue the allowance until the child reaches age 23 provided that he/she remains in full-time education. A child for this purpose includes a legitimate or adopted child and a stepchild. It does not normally include an illegitimate child unless you have notified the Trustee in writing of his or her existence.

If a Dependant’s Pension or Child Allowances is not payable, there may be a benefit called the Five-Year Guarantee, payable at the Trustee’s discretion.

The Five-Year Guarantee will be the balance of five times your initial KPS-FS pension (including any pension exchanged for a cash sum) less the total amount of any KPS-FS pension payments already received and less any tax-free cash sum taken at retirement.

If you are still employed by the Company, the death in service cover is still payable to non-members however this benefit is not at the same higher rate. The amount payable is dependent on when you joined the Company.

  • For employees who joined the Company on or before 30 June 2012, it is 2 x their Salary as at their date of death.
  • For employees who joined the Company from 1 July 2012, it is 1 x their Salary as at their date of death.

If you are receiving a spouse’s, civil partner’s or child’s pension following the death of a member of the KPS no further benefits will be paid in the event of your death.