Ill health retirement for members with benefits on hold
Ill health retirement for members with benefits on hold
Ill health retirement for members with benefits on hold
When a member requests access to their benefits on hold due to ill health, there are several things you need to consider and complete before you approve the retirement and inform us about it:
- You are referring the member to an approved independent registered medical practitioner (IRMP) because the individual has asked you, as their former employer, to release their benefits on hold early on ill health grounds.
- You have gathered all necessary information and prepared the referral pack including the P72a/P72b/P72c or P72d (depending on when the individual left) for the IRMP to complete.
Guidance
You must follow the guidance below based on the member’s date of leaving.
Member left after 31 March 2014:
- DCLG guidance – Statutory Ill Health Retirement Guidance to Accompany the Local Government Pension Scheme Regulations 2013
- DCLG guidance – Frequently Asked Questions – Ill Health retirement – 2014 Scheme – Edition 1
Member left between 1 April 2008 and 31 March 2014:
- DCLG guidance – Local Government Pension Scheme Statutory Ill Health Guidance to Accompany the Local Government Pension Scheme 2008
- DCLG guidance – Ill Health Retirement Frequently Asked Questions (FAQs) Edition 3 June 2011
If you need any further support on ill health retirement or earlier guidance, please contact the employer helpline.
We have a booklet available for members which explains the LGPS ill health rules in relation to members with benefits on hold and aims to help them understand the ill health criteria and procedures that must be followed. We recommend that you give the member a copy of this booklet as part of the referral process.
Template letters
Template letters have been prepared that give suggested wording you can use when advising members with benefits on hold of your formal ill health decision, also known as a first instance determination. The text is not mandatory and you may wish to adapt it to fit in with your own house style and/or incorporate into other letters you are using.
If you are using these letters please make sure you choose the correct one, as different rules apply depending on when the member left. If in doubt, contact us.
Step 1 - further information
Follow the correct guidance based on the member’s date of leaving and complete part A of the form. Send to the IRMP alongside the referral pack.
Step 2 - further information
The IRMP must assess the member and complete part B and C then return form to you with a copy of the medical report.
Step 3 - further information
If the report from the IRMP has inconsistences or treatments not considered or you have further queries refer back to the IRMP to clarify before making a decision. As the former employer, for members who left after 1 April 2008, you can exercise your discretion to determine whether the member is entitled to the early release of their pension benefits on hold on ill health grounds.
Step 4a - further information
If the IRMP has ticked part B2 (all) or B4 (P72c or d) go to 5a.
Step 4b - further information
If the IRMP has ticked part B1 (all) and B3 (P72c or d) go to 5b.
Step 5a - further information
In the medical opinion of the approved IRMP the member with benefits on hold does NOT meet the criteria for early release of their pension benefits under the LGPS. If you agree and this is your formal ill health award determination:
- Inform the member by sending the first instance decision.
- DO NOT complete parts D and E of form P72d or send a copy of this form or a copy of the decision letter to us.
Step 5b - further information
In the medical opinion of the approved IRMP the member DOES meet the criteria for ill health retirement.
If the member left after 1 April 2008 then you have the discretionary power to award or not award the early payment of benefits on hold on health grounds.
If you are awarding early payment:
- Inform member by sending the first instance decision
- Complete parts D and E of the form and send this to us.
- Please do not send a copy of the IRMP medical report.
If you choose NOT to award early payment: