Due to the COVID-19 crisis, the NHS has launched one of its biggest recruitment programmes in history. Prompting many medics to return to the frontline to support the NHS in its time of need. 
Several emergency measures have been introduced to allow NHS pension scheme members to do this, and include the following:
- Suspension of the rule which currently prevents staff who return to work after retirement from the 1995 section of the NHS pension scheme, from working more than 16 hours a week in the first four weeks after retirement
- Abatement rules for special class status holders have been relaxed meaning they can now return to work without a restriction on how much they earn, or a reduction in their pension in payment if too high.
- Those in the 2008 or 2015 sections of the NHS pension scheme will not have to reduce their pensionable pay by 10% if they wish to continue working after electing to take some of the NHS pension using “drawdown”.
Crucially, these measures should allow NHS members to return to work or extend their work commitments without affecting their pensions.
What protection is there for NHS families?
As it stands, any doctor returning to work after retiring, locums, medical students, or those who have opted out of the NHS pension scheme, their family would not receive a “death in service” payment if they were to die. This seems very unfair, especially when many are volunteering to help and placing themselves and their families at additional risk!
This is not a new story for locums! Locums are not entitled to death in service for days when they are not scheduled to work. A previous article GP locums: Will you get your death in service benefit covered this issue back in May 2018.
- Suspension of the rule which currently prevents staff who return to work after retirement from the 1995 section of the NHS pension scheme, from working more than 16 hours a week in the first four weeks after retirement
- Abatement rules for special class status holders have been relaxed meaning they can now return to work without a restriction on how much they earn, or a reduction in their pension in payment if too high.
- Those in the 2008 or 2015 sections of the NHS pension scheme will not have to reduce their pensionable pay by 10% if they wish to continue working after electing to take some of the NHS pension using “drawdown”.
Crucially, these measures should allow NHS members to return to work or extend their work commitments without affecting their pensions.
N.B. If you are a current NHS Pension Scheme member and would like a reminder of your Death-In-Service benefits, let me point you to our article: The NHS death in services benefits’ facelift.
Has any additional help been given?
Here’s the good news! The government has introduced a new life assurance scheme without cost to the member, to pay out a one-off £60,000 payment to the families of frontline NHS staff who die from coronavirus “in the course of their frontline essential work”. This is on top of any Death in Service payments for those eligible in the NHS pension scheme.
Is this enough?
It is also worth considering personal life assurance. Life assurance is there to protect those you leave behind, to ensure from a financial point of view that they are not forced to reduce their standard of living or pay off debts after an unexpected death.
Everyone’s circumstances are different, so you should always review the levels of cover you and your family need to ensure you are adequately covered.
Bear in mind, the cost of life cover for those in good health is not expensive. A level term assurance policy for £200,000 for a 50-year-old non-smoker to the age of 65 would only cost £25.31 per month. This reduces to £9.95 per month for a 30-year-old.
Of course, this is an example but not representative of all clients. A tailored quote is available upon request.
Can I still get private life assurance if working with Covid-19 patients?
The major life assurance companies are still open for new business. They are taking each application on a case by case basis with some additional questions on your current working arrangements.
Those without any underlying medical conditions and not showing symptoms, or have not tested positive for COVID-19 could expect to underwrite as normal with no increase to premiums or exclusions to cover.
If you are worried about the impact on your family due to returning to the NHS frontline during this crisis, it may be worth booking a meeting with your financial adviser.
Meetings are available via the phone or as video calls and can be fitted around your work schedule.
Have you been called back to work for the NHS during the crisis? Let us know by adding a comment below.