English guide to KLP’s pension scheme for public sector employees
10.09.2009
The main aspects of KLP’s public sector occupational pension scheme, including: membership; pension entitlements in connection with change of employer and leave of absence; applications for pension.
Important details about KLP’s public sector occupational pensions :
Membership of the pension scheme
When you are permanently or temporarily employed by an employer with a KLP pension scheme you become a member of the pension scheme. The prerequisite is that you have an average working week of 14 hours or more (168 hours per quarter for the hourly-paid). When you have become a member you will be sent an insurance certificate from KLP. 2% of your pay will be deducted as pension contribution. The employer will meet the other costs of the pension scheme.
Our pension benefits
As a member of KLP pension scheme you accumulate entitlement to retirement, disability and survivor pension. The pensions are indexed to the National Insurance Basic Sum (‘G’). From your 67th birthday your retirement pension will comprise a National Insurance element and a KLP element. The same applies if you receive National Insurance disability pension or survivor pension. The amount of the pension contribution is determined in part on this basis. Through the KLP pension scheme you have a guarantee that the total level of pension is maintained even if the Norwegian National Insurance (Nav) is reduced.
Pensions from The Norwegian Social Insurance Scheme (Nav) will gradually be altered due to new legislation based on the "Pensjonsreformen" and the 2009-agreement between the Norwegian employers og employees organisations.
Change of employer
KLP has a transfer agreement with the Norwegian Public Service Pension Fund and the other municipal and county authority pension funds. If you move to an employer who is linked to a public sector occupational pension scheme you will not therefore lose pension entitlement. If you transfer to the private sector certain rules will apply that differ from those applying if you continue in the public sector.
Leave of absence
In the event of complete or partial leave of absence without pay for up to 2 years you will have the same pension entitlements as before the leave of absence in the event of Unfitness to Work or death. No premium is paid for this risk cover. If you wish the period of leave to be included as membership time in later pension computations you may pay the premium directly to KLP.
Cover in addition to the pension
Many employers have agreements on group life insurance and accident/occupational injury insurance for their employees through KLP. If you are in doubt about what insurance cover you have through agreed terms and conditions of employment, ask your employer.
Housing loans
KLP membership also gives you the opportunity of a mortgage on advantageous terms. For detailed information contact our customer service for loans.
General insurance
KLP members and other employees in the public sector can buy private general insurance covering their household demands from KLP Skadeforsikring.
Members’ service
Most larger employers have appointed pension contacts – often in the HR office – who can answer questions about membership, pension and insurance. KLP's consultants and executives also provide information and personal service to the members. If you have plans to take out private pension insurance in addition to your occupational pension, check first what you will receive from KLP.
When it comes to paying out the pension
When the time comes for payment of pension or possibly other compensation, you apply to your employer or to KLP. Then you will receive guidance on your entitlements, on how you should proceed and on which forms must be completed. You ought also to contact your local NAV (Norwegian Employment and Welfare Service) office to find out your National Insurance entitlements.
Complaints
KLP will do its best to give you your correct settlement. If nevertheless you believe KLP has made a mistake in processing the claim you can complain. KLP will give you detailed information about these rules.
Do you need detailed information?
Contact your employer or call our customer service.