R-15.1 - Supplemental Pension Plans Act

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139. If the actuarial valuation used to determine the value of the additional obligations arising from an amendment to the pension plan shows that the plan’s funding level, determined without reference to the amendment, is less than 90%, a special improvement payment equal to the value of the additional obligations, at the date of the valuation, increased by the value of the stabilization provision target level in respect of those obligations, must be paid into the pension fund.
The special improvement payment is payable in full as of the day following the date of the valuation.
1989, c. 38, s. 139; 2006, c. 42, s. 11; 2015, c. 29, s. 24.
139. The value of the obligations referred to in section 134 or 138, which, under the plan, are to increase according, in particular, to the progression of the members’ remuneration, must include the estimated amount of the obligations when they become payable, assuming that contingencies based on actuarial assumptions as to survival, morbidity, mortality, employee turnover, eligibility for benefits or other factors will occur.
Furthermore, any pension benefit increase provided for by the plan which becomes effective after the benefits begin to be paid must be taken into account in determining the value of the plan’s obligations.
1989, c. 38, s. 139; 2006, c. 42, s. 11.
139. The liabilities of a pension plan under which refunds or benefits are guaranteed by an insurer shall, for the purpose of determining the plan’s solvency, include the value corresponding to those benefits, and the plan’s assets shall include an amount equal to such value.
1989, c. 38, s. 139.