Security of Plan provider
The Pension Plans are provided by UK Financial Services Authority authorised and regulated Merchant Banks, Insurance companies and Trustee companies via their offshore centres. In most circumstances these consist of the Channel Islands and The Isle of Man where the consumer protection is as good as or better than the UK. Which provides added peace of mind for continuity of service, product and accountability.
Transfers from existing UK Personal Pensions
The Plan is specially designed to take transfers in from other providers allowing you to consolidate your retirement or saving funds/assets into a tax efficient structure.
The scheme is accepted as a Qualifying Recognised Overseas Pension Scheme (QROPS) by Her Majesty’s Revenue and Customs (HMRC) and can receive transfers from UK Personal Pensions via a UK authorised and suitably regulated Independent Financial Advisory Firm.
No need to purchase an Insurance Company Annuity
One of the key benefits of this factor relates to the death benefits. If the member of the Qrops dies, the residual value of their Plan passes to their Beneficiaries, in full and free of IHT at source. Unlike a traditional insurance annuity where any remaining assets become the property of the annuity issuer.
The Plan typically falls outside of your estate
On a Member’s death their Plan’s assets can typically pass to their Beneficiaries without going through probate or being aggregated with their estate.
Flexibility for future generations
Even after the Member’s death, you have the following options:
- To continue or start providing an income to the Member’s spouse or dependants;
- To segment the fund to provide different types of benefit for the Member’s various chosen Beneficiaries;
- To transfer the proceeds into a new Plan for the benefit of a Named Beneficiary;
- To retain the Plan (hold in trust) for distribution at a pre-defined date or future event;
- To wind up and pass the proceeds of the Plan directly into the Member’s estate for distribution from there; and/or
- To wind up and pass the proceeds of the Plan directly to the Member’s chosen Beneficiaries
