Pensions (Personal & Executive)
This period of time may be very difficult for many clients. The majority of the life companies will allow clients to implement a skip facility (premium holiday) for up to 6 months. Following this period of time, the premiums will restart automatically allowing customers to get back on track with their financial plans. Separately, policyholders have the option to reduce premiums to the minimum monthly contribution under their policy if necessary.
If an employer is deducting pension premiums from a member these must be remitted as normal. If a member is temporarily laid off then they are not in service and therefore there is no obligation on either the ER or EE to make a contribution. Member can be put on a “premium holiday” and contributions can be reactivated once they are re-employed.