Individual Policy Pension Trust

Definition of "Individual policy pension trust"

Sue Medlin Smith real estate agent

Written by

Sue Medlin Smithelite badge icon

Southern Coastal Realty

Type of pension plan in which the employer (if noncontributory plan) or the employer and employee (if contributory plan) make level annual premium payments to fund the future retirement benefits, through an individual deferred annuity, of the employee. Also funded in this manner is a separate life insurance policy on each employee. (This policy is usually held in the trust.)

image of a real estate dictionary page

Have a question or comment?

We're here to help.

*** Your email address will remain confidential.
 

 

Popular Insurance Terms

Property damage, accident, or injury resulting from vagaries of nature, including tornadoes, hurricanes, and floods. ...

Describing a risk whose probability of loss is less than the norm or the standard expectation of loss for that underwriting classification. ...

Attachment to a property insurance policy that automatically adjusts its coverage according to the construction cost index in a community. This endorsement is necessary in a property ...

Insurance company's total premium income plus investment income. ...

Coverage for dispensers of alcoholic beverages against suits arising out of bodily injury and/or property damage caused by its customers to a third party. Establishments covered include ...

Geographical area in which commerce can be conducted without tariffs being applied. The concept was adopted in insurance through the use of a reinsurance facility for buying and selling of ...

Agreement among insurance companies through which a multinational employer is permitted to purchase employee benefits coverage's for two or more of its overseas subsidiaries under a single ...

Amount of uncertainty in a given situation. Probability that actual experience will be different from what is expected. ...

Plan that combines the simplicity and flexibility of the traditional profit-sharing plan with the best features of the defined benefit plan and the target benefit plan. By age-weighing the ...

Popular Insurance Questions