potential pension problem?

Superduke

 Feb this year I received a letter telling I could claim my company pension at age 62, I turned 62 in April so approached them for a pension quote/calculation.

I was happy with this and commenced the process based on a calculation dated  01/07/2024, I would receive a lump a sum and a monthly payment thereafter. All seemed well but I heard nothing from them for aprox 4 weeks, so I sent them a chaser email… Dated  04 sept 2024

‘’Looking for an update on the progress re pension application ( member #####) following returning completed form in July. I haven't heard anything since and would welcome a situation report and aprox time scale for commencement of pension payments. Thank You.’

I received the following reply… 06 September

Dear Mr #########,

 Thank you for your email.

 Please be advised that we will be processing your retirement early next week. Your pension commencement lump sum will be paid directly to your bank account, and the first pension payment, including arrears, will be made on 01/10/2024. We are currently awaiting final approval from the plan’s insurer.

 If you have any queries in the meantime, please contact us.

 Kind Regards,

Which again seemed fine, I’ve no idea how long it takes to process a pension so I guess you trust that things are on track. Unfortunately the 01 of Oct came and went and the promised payments had not materialised. So again another chaser email which went… 03 Oct

‘Re pension application (member #######), I'd welcome an update for commencement of pension payments for above pension plan. Thank You. ‘

 

Response received  07 Oct

 

‘Dear Mr ########

 I refer to previous correspondence.

 I can confirm that the case is still currently with the plans insurer.

 We have sent them a chaser email and will provide an update shortly.

Should you have any questions, please contact us.

 Kind regards’

 

This response again doesn’t tell me anything new so I wait. And wait, no update was forthcoming. So yet another chaser email is sent. Email sent 05 Nov…

 

‘Thank you for your response 07 Oct.

Unfortunately this matter still remains ongoing with no apparent progress.

I refer to a previous email which stated pension payment commencement on 01 Oct '24 and lump sum to be paid directly into my account at some point not specified. This did not happen and currently payments have not started and lump sump remains outstanding.

I would welcome a situation update and hopefully a realistic timescale with a view to a speedy resolution.

If there is an ongoing issue/s causing a continued delay please let me know.

As the matter as now been ongoing for some considerable time I would ask you prioritise it and if possible expedite the process.

Sorry for the lengthy email but as you may appreciate planning for the future and having current commitments necessitates knowing with reasonable certainty when funds are going to be made available.

Thank in advance Mr #  #########’.

 

Response received 12 Nov.

‘Dear Mr ########

 I am very sorry for the delay you are experiencing in the settlement of your retirement benefits.

 I have chased up the insurer for confirmation of the final benefits to put into payment.

 On receipt of a satisfactory response I will arrange payment of your lump sum and confirm details of your pension commencing.

 Kind regards.’

 

Again the reply doesn’t tell me anything new. It is now 0 3Dec and no response satisfactory or otherwise as been received, I’m now getting a little worried. This process seems to have been ongoing for some time with the original commencement date missed, and not just missed by a couple of days it is currently 2 months overdue.

I have been grateful for the help/advice provided by MSE with an ongoing parking court situation, which is progressing as expected. So I’m hoping for some advice on how to procced with the above situation, am I right to be getting worried and what questions should I be asking and who should I contact regarding potential problems should it continue to remain unresolved. I will be sending another chaser email but don’t really expect a satisfactory response.

Any help or advice more than welcome thanks in advance.

dunstonh

Again the reply doesn’t tell me anything new. It is now 0 3Dec and no response satisfactory or otherwise as been received, I’m now getting a little worried. This process seems to have been ongoing for some time with the original commencement date missed, and not just missed by a couple of days it is currently 2 months overdue.

Thanks to the scaremongering before the budget, a number of providers are reporting delays of 8 weeks.  So, whilst 8 weeks would be unusual  in normal times (unless its a pension provider with a professional 3rd party administrator - where periods of 8-12 weeks are typical), its not actually unusual at the moment.

The wording in your post suggests third party administrator.   So, 8 weeks would be pretty good with one of those.

Albermarle

Who is the administrator you are corresponding with ?

xylophone

Is this a deferred defined benefit pension?

Is there a S32 policy involved?

Which insurer is involved?

Superduke

I know almost nothing about pensions, other than you are old when you get them, so I don't know if it is a defered, defined benefit, or what an S32 policy is.

The pension is an old circa 2000 final salary pension the company was called Hydro Aluminium motorcast the pension was formerly administered by Buck Consultants Ltd but this as changed to Gallagher Benefit Services.

This is the footer on their email,  Following the recent acquisition by Gallagher, we are now introducing their branding to our communications. To find out more please read the attached.

So it appears the original administrator as been bought by the new one this probably doesn’t help expedite the process. And given time frames of 2-3 months then it would seem I’m worrying unduly. I guess all I can do is keep chasing them.

 

 

 

MarkCarnage

From what you write it's a deferred defined benefit pension. At face value, if what Gallagher are saying is true, this sounds less like an issue with the administrator than 'the insurer'....their wording suggests to me that there may be a buy in/buy out in place for the liabilities, and they have to confirm the benefits payable with the insurer, particularly if you are taking benefits early? 

newatc

I note Superduke, you have given your surname in the original post. Probably no great problem but just in case you do not wish that to be seen, you can edit it out.

LeafGreen

@Superduke FYI you may wish to edit your original post, you left your name in one place

Brie

If it's from employment some time back then it's deferred. If it's final salary that's a defined benefit scheme.  

Keep chasing.  Have you rung them?  Harder for anyone to ignore a call but keep a record of when and what was said.

Superduke

Brie said:

If it's from employment some time back then it's deferred. If it's final salary that's a defined benefit scheme.  

Keep chasing.  Have you rung them?  Harder for anyone to ignore a call but keep a record of when and what was said.

thanks for the info, another chaser email and yes a phone call is probably a good idea too.

Superduke

thought I'd redacted all the id info I'll have look at it although it doesn't really matter