Death benefits
If you die whilst in employment with BAA (and are paying into the Scheme) a cash sum of four times your annual salary (at your date of death) will be payable. Rather than this lump being payable to your estate the Trustee decides who should receive the lump sum. This normally means the lump sum payment will not form part of your estate and is therefore not liable to inheritance tax.
It is vitally important that you complete an Expression of Wish form. This will ensure the Trustee can take account of your wishes when deciding who should receive the lump sum payment. You should regularly update your Expression of Wish form, especially if your personal circumstances change.
Spouse/Registered Civil Partner pensions
For the first 13 weeks following your death your Spouse/Registered Civil Partner will receive an income equivalent to your current Pensionable Salary. After 13 weeks a pension will be payable to your Spouse or Registered Civil Partner as follows:
A pension equal to two-thirds of your pension you would have received had you continued working until your Normal Pension Date.
Will my children receive anything?
Eligible Children will also receive a pension of up to one-quarter of the pension payable to a Spouse or Registered Civil Partner.
If you have more than two Eligible Children, the amount of pension will be split equally between all Eligible Children.
