Pension Plan
Definition of "Pension plan"
Retirement program to provide employees (and often, spouses) with a monthly income payment for the rest of their lives. To qualify, an employee must have met minimum age and service requirements. Benefit formulas can be either the defined contribution pension (money purchase plan) or the defined benefit plan. The employee retirement income security act of 1974 (ERISA) requires a pension plan to provide an income for the rest of a retired employee's life, and at least 50% of that amount to the surviving spouse of a retired employee for the rest of her life, unless the spouse this right in writing. Death and disability benefits are also provided by most pension plans. The TAX REFORM ACT OF 1986 has changed the VESTING requirements. Funds for these plans can be generated under numerous PENSION PLAN FUNDING INSTRUMENTS.
Popular Insurance Terms
Tax-exempt income that, for comparative purposes, has been increased by an amount equal to the taxes that would be paid if this income were fully taxable at statutory rates. ...
Central (main) office of an insurance company whose facilities usually include actuarial, claims, investment, legal, underwriting, agency, and marketing departments. ...
Changing state of the economy associated with changes in human wants and desires such that losses or gains occur. Dynamic changes are not insurable. ...
Statutory surplus plus the interest maintenance RESERVE plus the ASSET VALUATION RESERVE. ...
Performance of management functions associated with administering an employee benefit insurance plan, to include actuarial services, booklet and contract plan designing, billing, ...
Single insurance policy for only one kind of property at only one location of an insured. For example, property insurance on a rare piano in the insured's home would cover only that piano, ...
Person covered under an employee benefit insurance plan. ...
Adaptation of a standard insurance contract for special needs. Standard forms do not cover all needs but they can be adapted by an underwriter, broker, or an insurance company at the ...
Single payment or periodic payments that are made to purchase an annuity. ...
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