Definition of "Unallocated benefit"

Souhel  Shehady real estate agent

Written by

Souhel Shehadyelite badge icon

Century 21 Supreme Realty

Same as term Unallocated Funding Instrument: pension funding agreement under which funds paid into a retirement plan are not currently allocated to purchase retirement benefits. The funds of one plan cannot be commingled with funds of another plan, and the plan trustee guarantees neither principal nor interest of the funds deposited. At retirement the trustee can either purchase an immediate retirement annuity for the retiring employee or pay the benefits directly from the fund as they become due.

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

Feature of pension plans whereby an employee whose service has been interrupted can have that period credited toward retirement. ...

Individual retirement account established under the tax reform act of 1986, for a spouse who has unearned income. The maximum annual combined contribution into the worker's and spouse's IRA ...

Portion of the death benefit in a life insurance policy paid upon the insured being diagnosed as having a terminal illness that will result in death within a year. ...

Prospective insured who completes and signs a written form containing personal statements about himself/herself. ...

Coverage usually provided under the commercial general liability insurance (CGL); it can also be purchased separately. ...

Use of the threat of violence or actual violence in taking property from someone else's possession. This peril is covered on a personal basis through the purchase of a homeowners insurance ...

interconnection of computers that contain pages classified into groups called web sites that can be accessed over the internet. The only requirement for visiting a web site is to have ...

Process of the continual reinsurance of a ceding company's portfolio of insurance policies. All premiums that have been ceded become earned premiums. ...

Coverage in the event that, while practicing the profession of druggist, an act or omission is committed resulting in bodily injury, personal injury, and/or property damage to a customer. ...

Popular Insurance Questions