Alteration in State Retirement Age impact on Group Risk Cover

The changes in plans for State Pension Retirement age announced in last year’s Budget has the potential to impact many employers, and the ceasing ages for Corporate Risk cover may no longer be aligned to  employees expected pension retirement age. Find out more here about the State Pension age staying at 66 years.

To ensure smooth continuation of cover Irish Life are adopting the following approach in such cases:

Previously agreed retirement ages

• Where employers have previously arranged with us to cover certain cohorts of employees to ages 67 and 68, we will continue to regard these ages as their intended retirement ages and maintain risk cover for the

2021 renewal year

• We will continue to charge premiums at rates, and set up any new Income Protection claims to be payable consistent with this.

Current Income Protection Claims

• Any current Income Protection claims we have in payment to ages 67 or 68 will not be impacted by the change.
• It is important to realise that on retirement from employment any Income Protection claims will cease as the claimant is no longer an employee.

Aligning retirement ages and cover to age 66

• If employers expect pension retirement ages to move to 66 then they should contact their Risk Consultant or Irish Life Client Services manager about amending their cover. Irish Life will make the appropriate reductions to risk unit rates and apply any necessary credits at the next completed risk renewal. 

Our intention is to maintain cover in place for employers with minimum disruption until adjustments that employers may wish to make can be put in place.

We are here to help
If there are any particular cases that employers or risk consultants wish to discuss then please contact your Irish Life Account Manager or Client Services manager and we will be happy to discuss.