Terminal Funding Agreements
Group retirement contract ENT-02 1406 and group retirement certificate ENT-02 1406 ICERT, ENT-02 1406 DCERT Western – Southern Life`s PensionAssist® is a group annuity of the Western-Southern Life Assurance Company. The sums paid are paid into the general account. Insurance risks, financial and contractual obligations and annuity support functions issued by the Western-Southern Life Assurance Company are the responsibility of the issuing insurer. Payment obligations or guarantees depend on the insurer`s ability to pay damages. The characteristics of the product may vary depending on the landers. Not available in Massachusetts. The information provided on products and services is not intended to replace agreements relating to these products or services. CERTIFICAT: issued by an insurance company under a single category of premiums or final financing annuity. While the insurer issues the group contract to the plan sponsor, individual certificates are issued to project participants. The certificate contains all the performance rules to which the participant is eligible.
DELIVERY: transfer of ownership or ownership of a natural company, company, company or other entity to another legal company in the execution of contracts entered into in exchange meeting all the necessary requirements of that exchange. DEPOSIT ADMINISTRATION CONTRACT: As a general rule, an annual premium financing contract with an insurance company in which an unassigned account is held for plan participants. Annuities are then purchased for plan members when they retire. PLAN TERMINATION: The company`s objectives, financial restructuring or a change in philosophy in the implementation of contemporary employee plans can lead to the termination of a plan by its sponsor. In this complex process, a lot of planning and decision-making is required. Wealth and accountability studies must be conducted in-house to determine funding capacity. The sponsor must ensure with the PBGC that all promised pension benefits are met. The PBGC will then issue a “strength communication” that the plan will be properly funded.
Final funding pension offers must be solicited to determine the cost of providing guaranteed benefits. NORMAL FRAIS: the flow of contributions to a pension plan necessary to cover future staff benefits. INCOME STOCKS: High-yield dividend stocks (see growth stocks). PENSION BENEFIT GUARANTY CORPORATION (PBGC): A federal company created under the Employee Retirement Income Security Act of 1974 (ERISA) to guarantee basic pension benefits in covered plans by managing terminated plans and placing pawn rights on corporate assets for certain unfunded pension liabilities. To be covered, a plan must promise more than 25 employees clearly defined benefits and pay the necessary premiums. STANDBY AGREEMENT: In a rights issue, agreement that the insurer will buy all shares that are not purchased by investors.