Regulation 2.K.23 Lump sum payable on the death of a 2008 Section Optant who is in receipt of a tier 1 ill-health pension under regulation E2A of the 1995 RegulationsF1
This regulation applies to a 2008 Section Optant who, on the date of that Optant’s death—
is entitled to a tier 1 ill-health pension under regulation E2A of the 1995 Regulations (ill-health pension on early retirement) in respect of service in the 1995 Section, and
is an active or a non-contributing member in respect of service in this Section of the Scheme (“the later 2008 Section service”).
The lump sum payable on the death of an Optant referred to in paragraph (1) shall be—
calculated in accordance with whichever of paragraphs (3), (4) or (5) applies to that Optant, and
paid in place of the lump sum that, apart from this regulation, would otherwise be payable in respect of that Optant’s later 2008 Section service under regulation 2.E.17.
If the deceased Optant was, at the date of the Optant’s death, an active member who had not exercised the option under regulation 2.D.5, the lump sum referred to in paragraph (2)(a) is an amount equal to five times the annual rate of pension—
payable under regulation 2.D.8(5), if the deceased Optant had not reached the age of 65, or
payable under regulation 2.D.1, if the deceased Optant had reached the age of 65,
to which the deceased Optant would have been entitled at the date of the Optant’s death.
If the deceased Optant was a non-contributing member who had not exercised the option under regulation 2.D.5, the lump sum referred to in paragraph (2)(a) is an amount equal to five times the annual rate of pension—
payable under regulation 2.D.8(5), if the deceased Optant had not reached the age of 65, or
payable under regulation 2.D.1, if the deceased Optant had reached the age of 65,
to which the Optant would have been entitled on the last day of the Optant’s pensionable service.
If the Optant was an active member or a non-contributing member who had exercised the option under regulation 2.D.5, the lump sum referred to in paragraph (2)(a) shall be determined by the Secretary of State after taking advice from the Scheme actuary.