PART 5

Retirement Benefits for Teachers
CHAPTER 7

Short-service serious ill-health grant

Application for payment of grant
119
1
An application made by a person (P) under regulation 162 for payment of a short-service serious ill-health grant—
a
must be accompanied by all the medical evidence necessary for the Department to determine that P is entitled to the payment; and
b
must be signed by P's employer.
2
The medical evidence must include a medical report containing evidence that P—
a
meets the incapacity condition; and
b
has a life expectancy of less than a year.

Meaning of “entitlement day” (short-service serious ill-health grant)
120
The entitlement day for a short-service serious ill-health grant is the day after a person (P) leaves all eligible employment because P is incapacitated.

Entitlement to short-service serious ill-health grant
121
1
A person (P) is entitled to payment of a short-service serious ill-health grant on the entitlement day if—
a
P was in pensionable service (other than post-benefit service) for at least 12 months;
b
P has left all eligible employment because P is incapacitated;
c
P is not qualified for retirement benefits;
d
P has not reached 75;
e
within 6 months of leaving pensionable service P has applied under regulation 162 for payment of the grant; and
f
the Department is satisfied after consideration of the medical report that—
i
P meets the incapacity condition; and
ii
P has a life expectancy of less than a year.
2
This regulation does not apply if P is in a period of post-benefit service immediately before the entitlement day.

Amount of grant
122
1
The amount of a short-service serious ill-health grant is the greater of—
a
1/6th of the member's annual rate of pensionable earnings as at the last day of pensionable service; and
b
the total of the amounts specified in paragraph (2).
2
The amounts are—
a
all the members' contributions, additional pension contributions, buy-out contributions and faster accrual contributions paid up to the date of receipt of the application under regulation 119, except any paid in respect of a period of pensionable service for which a short-service serious ill-health grant has been paid; and
b
interest on those contributions from the first day of the financial year following that in which they were paid to the date of payment at 3% per year, compounded with yearly rests.