Executive Pensions Plans

You can read the communication from the Pensions Authority here. In summary, these changes introduced new requirements for Executive Pension Plans set up on or after 22 April 2021. As a result of these changes, these schemes will now be required to produce a full annual report as well as audited accounts.

The implications for new Executive Pension Plans

In light of the new requirements, we have taken the decision to cease accepting new applications for ZTSL individual Executive Pension Plans with immediate effect. We will continue to monitor regulatory developments and update you on an ongoing basis.                                               

We will continue to accept new contributions and top-ups into all existing Executive Pension Plans. Corporate Business is unaffected by this announcement.

The PRSA route – a viable alternative for many customers

As a result of these new changes, we believe that a PRSA may be a suitable option for many of your customers. Many customers who currently take out executive pension plans have contribution rates within what is allowed on PRSAs, and will not be impacted by the change in relation to their pension funding.

Other solutions

We know that PRSAs will not be as attractive to your customers who wish to make combined employer and employee contributions above the PRSA limits. Zurich is actively exploring other potential solutions for these customers and will be in touch with you in respect of any updates in this regard.

The future pensions landscape

Customers will always need advice on pension funding and direction as to which is the best option available to them. At Zurich, we will continue to provide you and your customers with great products, competitive pricing, all backed up by long-term consistent fund outperformance.

If you have a query on any of the above points, please contact your Zurich Broker Consultant.