Life cover

If you die before the pension credit becomes payable, a lump sum equal to three times the annual pension is due.

If you die within five years of your pension credit benefits becoming payable, a lump sum of five times your annual pension, less the amount of pension already paid to you, is due.

No dependants' benefits are payable following the death of a pension credit member.

Lump sum death grant – expression of wish form

Your pension fund administrator has absolute discretion over who receives any lump sum death grant, but it is helpful if you let them know your wishes by completing an expression of wish form.

• Scottish rules : if you get re-married or enter into a new civil partnership after completing an expression of wish form, you may wish to complete a new one as your old one is no longer recognised

Contact your pension fund administrator to complete an expression of wish form if you have not already done so.  It is then unlikely that Inheritance Tax will be payable. Remember to complete a new form if your wishes change.