Welcome to Industriens Pension

Transcription

1 Welcome to Industriens Pension You have joined us through your job. It is part of the collective agreement that applies to your employment. Most employers pay 2/3 of the contribution to the pension scheme with the members paying the remaining 1/3 themselves, which their employer deducts from their wages. Most members have a total contribution of 12% of their wages. When are you entitled to a pension scheme? You are entitled to a pension scheme with Industriens Pension if you are aged 18 or over and have worked for at least two months under an agreement where the pension scheme is with Industriens Pension. If when you start your new job you already have a similar pension scheme from your previous job, your new employer will pay in your pension for you from the start of employment. Your pension scheme comprises savings for your old age and usually also insurance policies for the following: Certain critical illnesses The insurance sum is DKK 100,000. Loss of earning capacity The insurance sum is DKK 100,000. We also pay out disability pension every month. Death The insurance sum is DKK 300,000. If you wish to change the amount of the insurance sums, you must contact us. If you increase the insurance cover, you will save less for your retirement pension. If you have any questions about your pension scheme and would like to find out how much you have saved so far and which insurance policies you are covered by, feel free to ring us on The following sections explain what action you need to take with regard to your pension scheme in different situations. YOU ARE MOVING ABROAD It is important that you make sure Industriens Pension has your address overseas, otherwise we cannot pay the 1

2 money to you. You must also make sure to contact us when you retire, if you are diagnosed with a critical illness or if you lose your earning capacity. In the event of your death, your family must contact us. We are not informed automatically if something happens to you. If you move away from Denmark, you can also opt to cash in your pension savings with Industriens Pension, unless you have received a retirement or disability pension. To have this money paid out you must no longer have a permanent home in Denmark or receive any wage income from Denmark. You must provide us with: 1. documentation from the Danish central tax administration (SKAT) showing that you are no longer a taxpayer in Denmark; 2. the date that you stopped being a taxpayer in Denmark; and 3. your bank details and account number. In conjunction with the cashing in of your savings, you must pay a fee of up to 60% to the state. Once the pension savings have been paid out, all your insurance policies with Industriens Pension lapse. YOU BECOME UNEMPLOYED When you stop working, your employer also stops paying into your pension and you should be aware that this will affect your pension and your insurance policies. Your pension savings will remain with Industriens Pension and you will remain covered by your insurance policies for up to 12 months after the payments to the pension scheme have stopped. You can extend the period for which you are insured by up to another 24 months to take it up to a total of 36 months. The insurance policies come to an end if there is no longer money in your pension savings to pay for them. You can also opt to pay into the pension scheme yourself. In this way you will keep the insurance policies active without draining your pension pot. Most people can maintain their insurance cover for around DKK 500 a month. If you then get a new job that falls under the same collective agreement, the payments into the scheme will resume. If you get a new job where you have another Danish pension scheme, you can move your pension savings. If your new job does not have a pension scheme, you can opt to pay into your existing pension scheme yourself. Contact us if you want to extend the period for which you are insured or would like to continue paying into your pension scheme yourself: 2

3 IF YOU DIE Your pension scheme contains a life insurance policy. This means that your surviving relatives will receive a lump sum if you die before you retire. You can decide who is to have the money. Contact us if you want to decide who is to have the money: YOU GET DIVORCED If you get divorced, this can have an impact on your pension scheme. As a general rule, the pension savings held with Industriens Pension must not be split in the event of a divorce. If you have not made an active choice as to who is to receive the money if you die, your next of kin will receive your pension savings. A former spouse or a spouse from whom you are separated is not your next of kin. If you have met someone else that you have not married (yet), you may wish them to receive the insurance lump sum on your death. If you have lived together for at least two years, or have or are expecting a child together, you do not need to do anything because your livein partner will automatically receive the money if you die. Contact us if you want to decide who is to be paid the money: YOU LOSE YOUR EARNING CAPACITY If you permanently lose at least 50% of your earning capacity before you reach the age of 60, you can receive a disability sum, which is a tax-free one-off payment of DKK 100,000. You are free to continue working even if you have received the disability sum. If you permanently lose at least 2/3 of your earning capacity before you reach the age of 60, you can receive a disability pension from Industriens Pension. The size of the disability pension depends on your contribution percentage and how old you were when you became a member of Industriens Pension. You will receive a disability pension payment each month. You must pay income tax on this pension. The deadline for claiming an insurance benefit may expire if you wait too long to apply for a payout from us. If the deadline for filing a claim under the insurance has expired, you will not receive a payout. This is why it is important to ring us immediately if you lose your earning capacity. 3

4 As a general rule, the deadline for submitting your insurance claim expires after three years. Contact us as soon as you think you may be entitled to a payout: YOU ARE DIAGNOSED WITH A CRITICAL ILLNESS You can apply for a payout if you contract certain critical illnesses before you reach the age of 67. Critical illnesses which may entitle you to a payout: Some forms of malignant cancer Blood clot in the heart Bypass operation or balloon dilation to treat coronary calcification Heart valve surgery Aortic diseases Stroke After-effects of encephalitis or meningitis Sac-shaped dilation of the cerebral arteries Some benign tumours in the brain and spinal cord MS (multiple sclerosis) ALS (amyotrophic lateral sclerosis) Some muscular and nervous disorders Parkinson s disease Alzheimer s disease After-effects of Lyme disease AIDS Internal organ failure Blindness Deafness Extensive burns, frostbite or chemical burns The lump sum is DKK 100,000 tax-free unless you have opted to change the amount. This sum is only paid out once. Special rules apply to members who make payments into the pension scheme themselves and members who no longer pay into the pension scheme. The deadline for claiming an insurance benefit may expire if you wait too long to apply for a payout from us. If the deadline for filing a claim under the insurance has expired, you will not receive a payout. This is why it is important to call us as immediately if you have been diagnosed with a critical illness that may entitle you to compensation. As a 4

5 general rule, the deadline for submitting your insurance claim expires after three years. Contact us as soon as you think you may be entitled to a payout: YOU WANT TO MOVE YOUR PENSION You can move previous pension savings to Industriens Pension. If you join another Danish pension scheme, you also have the option of transferring your savings with Industriens Pension to the new scheme. If you are a member of a Danish pension scheme with another provider through a previous job, you should consider combining your pension with us. When you do this, you get a better overview and you can save on the administration costs. If you would like to move your pension held with another Danish company to Industriens Pension, you must ring us. We do not charge fees or costs for transfers in conjunction with changing jobs, but some companies do charge a fee. If you change jobs and join another Danish pension scheme, you can transfer your pension scheme to your new labour market pension. You can only move your pension to other labour market pensions, NOT to private pension schemes operated by banks, for example. Contact us if you would like to move your pension: YOU CHANGE JOBS If you change jobs but your new job still falls under the Collective Agreement for Industrial Employees, you do not need to do anything. Your pension and your insurance policies will continue with us automatically. If your new job falls under a different Danish collective agreement, you can transfer your pension savings to your new labour market pension. You can only move your pension to other Danish labour market pensions, NOT to private pension schemes operated by banks, for example. If your new job does not give you the right to a pension scheme or you become self-employed, you can opt to pay into your existing pension scheme at your own expense. This means you will retain your insurance cover and be able to continue saving for your pension. The starting point is that you will continue to be insured for up to 12 months after the payments to the pension scheme have ended. You can extend the period for which you are insured by up to another 24 months to take it up to a total of 36 months. The insurance policies come to an end if there is no 5

6 longer money in your pension savings to pay for them. You can also opt to pay into the pension scheme yourself. In this way you will keep the insurance policies without draining your pension pot. Most people can maintain their insurance cover for around DKK 500 a month. Contact us if you want to extend the period for which you are insured or would like to continue paying into your pension scheme yourself: KEEP TRACK ONLINE If you have a NemID, you can log in online at and see how your pension is doing. You can check what is being paid into your pension scheme and see the payouts you are entitled to. You will also have access to a number of self-service options such as transferring previous pension savings or paying extra into your pension scheme. YOU WANT TO CHANGE YOUR INSUR- ANCE POLICIES When you make payments to Industriens Pension, you have: pension savings for your old age; and insurance policies in case something happens to you before you retire. You can increase or decrease the insurance benefits payments that you will receive if something happens to you. If you would like to have higher insurance cover, then your pension will be lower. And if you would like to save more for your pension, you can lower your insurance cover. Contact us if you would like to change your insurance policies: 6