Protecting Your Survivors

Do you know that your eligible survivors and children may be entitled to a survivor benefit and children's allowance, respectively; and that your designated beneficiary may be entitled to a Supplementary Death Benefit?

Survivor Benefit

Your survivor becomes entitled to a survivor benefit once you have completed two or more years of pensionable service. The formula to calculate this annual benefit is:

Children's Allowance

These allowances are equal to one fifth of the survivor benefit for each child (maximum of four fifths). If there are more than four children of a plan member, the maximum amount payable may be divided among the children.

Supplementary Death Benefit

The Supplementary Death Benefit Plan (SDBP) provides the payment of a lump sum amount equal to twice your annual salary to your designated beneficiary. Coverage decreases by 10% per year starting when you reach age 66. The coverage for a minimum amount of $10,000 is free beginning at age 65 for plan members who receive an immediate annuity or an annual allowance payable within 30 days after termination of employment. This amount of coverage is maintained for your lifetime at no cost.

Continuity of Coverage (SDBP)

You will have to make an election to continue coverage under the SDBP if you are entitled to a deferred annual allowance, a deferred annuity, or a transfer value. You will also have to contribute at an increased rate if you wish to retain your protection. Please consult the brochure Your Pension Plan or your compensation advisor for further information on the SDBP.