Regulation 11 Option to convert the entire lump sum payment into additional monthly paymentsI1

A person may opt to exchange the whole of the lump sum to which the person would be entitled under regulation 10 (amount of early departure payments) for an increase in the amount of periodical payments payable to the person.

Where a person so opts, the periodical payments are to be increased as from the date the payments are due to start and by the amount that the scheme manager, having consulted the scheme actuary, considers to be equivalent in value to the whole of the lump sum to which the person is entitled.

A person who has exercised the option under this regulation ceases to be entitled to payment of a lump sum under regulation 9 (entitlement to early departure payments).

The option under this regulation may only be exercised by giving notice in writing to the scheme administrator, in such form as the scheme administrator requires, during the period of 6 months ending with the day on which the person becomes entitled to payment of the lump sum.

For the purposes of this regulation, the option is treated as having been exercised on the date on which it is received by the scheme administrator.