UNUM Life Master Plan

You will be covered for a life assurance benefit under the UNUM Life Master Plan (“the Plan”) if you are in service with Royal Mail Courier Services, StoreFeeder or Property and Facilities Solutions Ltd (excluding PFSL RMCPP members and are aged under 75) ^*.

^*If you are a PFSL employee who joined the Royal Mail Collective Pension Plan (“the Collective Plan”) on 7 October 2024 and haven't since left that scheme, you will have death in service benefits provided by the Collective Plan.

Employees age 75 - 90 (inclusive) will be covered for the life assurance benefit. If you are over age 75 there are additional criteria that need to be met in order to qualify for the benefit, however the conditions are such that we anticipate the vast majority of members aged over 75 to be covered.

Property and Facilities Solutions Ltd

StoreFeeder and Royal Mail Courier Services

*NEST Pensionable Pay is defined as basic pay if you work full time and basic pay plus overtime (capped at full-time equivalent pay) if you work part-time.

In some circumstances you may be required to have a medical before you will be covered. You will be told if this is necessary.

The benefit provided by the Plan is insured through a life insurance policy. If the insurer restricts the amount payable on your death, your beneficiaries may receive less than the amount stated above.

On leaving service, or reaching age 90 if earlier, your cover would cease and if you wanted alternative cover, you would have to secure it privately and pay the cost yourself.

This arrangement came into effect on 7 October 2024. The benefit is provided through a trust called the UNUM Life Master Plan (“the Plan”). Benefits are payable in accordance with the rules of the Plan.

If you are or have been a member of the National Employment Savings Trust (“NEST”) or PFSL Defined Contribution Pension Plan (“PFSLDCCP”), Royal Mail Defined Contribution Plan (RMDCP) or Royal Mail Pension Plan (RMPP), there may be pension benefits payable. Please contact the relevant scheme for further information:

• NEST
• PFSLDCCP
• RMDCP
• RMPP

There is no cost to you. The costs of the providing life cover under the Plan is entirely covered by your Employer.

Employer means Royal Mail Courier Services, StoreFeeder or Property and Facilities Solutions Ltd.

The Trustee of the Plan decides to whom to pay benefits on your death but will take your wishes detailed on an Expression of Wish form into account.

You should complete the relevant Expression of Wish Form:

• Royal Mail Courier Services
• Storefeeder
• Property & Facilities Solutions Limited

If you die while in service, the Trustee of the Plan would have to decide who is to receive the benefits without knowing your wishes. The Trustee would have to investigate your circumstances in order to decide how to exercise its discretion. The Trustee may take into consideration any Will you have made or evidence from your family and friends. The Trustee is more likely to exercise its discretion in a way you would prefer them to if you have returned the Expression of Wish Form.

You can nominate your spouse, civil partner, partner, boyfriend or girlfriend, children, brother or sister, parents, grandparents, other relatives, or anyone financially dependent upon you or interdependent with you.

You can name several persons to share the lump sum death in service benefit and there are spaces on the form for you to state what proportion you would like each person to receive. If you were to nominate a charity or other organisation (rather than a person), the Trustee may not follow your nomination.

If your circumstances change (you get married for example) and you would like different persons to receive the lump sum benefit, you will need to complete and return a new Expression of Wish Form. You can obtain a new form in the How do I nominate who I want to receive the payment from the Plan on my death? section above.

Currently, your beneficiaries will not normally have to pay inheritance tax on the money they receive because it is paid from a discretionary trust. This means it will not be included in your estate for inheritance tax purposes. However, in some specific circumstances a tax deduction will be applicable, for example, if you are over age 75 at date of death.

There will be no additional income tax for your personal representatives to pay so long as all the value of all benefits from all registered schemes (including benefits payable on death) does not exceed the Lump Sum and Death Benefit Allowance (£1,073,100 for the tax year 2024/25).

This is the current position as at October 2024 but you should note that tax rules may of course change in future.

The Plan does not provide any ill health benefits.

If you were eligible for cover immediately before you go on sick leave, you will still be covered for the death in service lump sum under the Plan provide you remain in active service with your Employer.

Note: the above arrangement is only applicable to StoreFeeder and Royal Mail Courier Services employees only.

If you are not a contributing member of a pension plan provided by your employer and you are in active service with your employer, you will be classed as a member of the Plan. As such, you will be entitled to death in service benefits as follows:

• PFSL: 2 x Annual Contractual Pay
• Royal Mail Courier Services & StoreFeeder: 2 x Annual Basic Pay

Your employer reserves the right to amend or withdraw this benefit in future, for example, if the costs of paying the insurance for providing this benefit become too high.