Frequently asked questions
Have a question? You’ll find the answers here.
Group pension
Whether you are required to enrol in a pension plan depends on your employment status and your employer’s pension plan rules.
In Bermuda, Bermudians and the spouses of Bermudians are generally required to participate in a registered pension plan, subject to eligibility rules of the Pension Act.
Bermuda registered pension plans are designed to provide income during retirement, and a full cash payout at retirement is not permitted, except in limited circumstances.
Lump sum withdrawals may be permitted in certain circumstances, including:
- A retiree may take up to 25% of their pension account balance as a lump-sum cash withdrawal at retirement, with the remaining balance used to provide income.
- If your total pension account balance is $50,000 or below at retirement, you may withdraw the full amount as a lump sum.
If you need help understanding your options or transferring pension funds from a previous employer’s plan, please call us at 1-441-298-0888.
The minimum pension contribution is 5% from the employee and 5% from the employer.
If you are enrolled in a group pension plan through your employer, one simple option is to increase your contributions through a payroll deduction. You can ask your employer to withhold an additional amount or percentage from your paycheque and remit it to Allshores along with your regular pension contributions.
If you would like to make a voluntary contribution to your workplace pension plan or an individual retirement account, please call us at 1-441-298-0888.
If you’re leaving your current employer, and you’re currently enrolled in a registered pension plan, your required contributions will generally be locked in. In most cases, you may choose to:
- Transfer your funds to a prescribed retirement product
- Transfer your funds to your new employer’s pension plan
Lump-sum payments are only available in limited circumstances, permitted under the Pension Act.
If you’re leaving your job, you should ask your HR representative for a Termination Form. This form allows you to indicate what you would like to do with your pension funds. Both you and your employer must complete this form.
Yes. Under the Pension Act, you may continue contributing to your pension plan after age 65 if you remain employed and choose to defer drawing retirement income. Your options may vary depending on your pension plan rules.
Under the Pension Act, the normal retirement age is generally 65. When you reach normal retirement age, you may choose to begin drawing retirement income from your pension account, even if you continue working. Once you start receiving retirement income, contributions to the pension plan must stop, and no further benefits will accrue.
Your options for receiving retirement income benefits are:
- An annuity (guaranteed retirement income)
- Drawdown from your pension account (subject to prescribed maximum annual limits)
If you need help understanding your options, please call us at 1-441-298-0888.
Home insurance
Your sum insured should represent the full cost to rebuild or replace your home or contents in the event of a total loss.
It’s important to keep this amount up to date to keep up with inflation and rising construction costs. If you’d like help reviewing or adjusting your coverage or sum insured, please call us at 1-441-298-0888.
Home insurance covers more than just your house. It also includes coverage for:
- Outbuildings
- Swimming pools
- Tennis courts
- Walls, gates, fences, and driveways
Your sum insured should reflect the full reconstruction cost of your home, including features like a pool. A hot tub must be specifically listed on your policy.
No — and there is likely a significant difference between your home’s replacement cost and its market value.
Replacement cost is the amount it would cost to rebuild your home from the ground up, including materials and labour, in the event of a total loss.
Market value is the amount a buyer might pay for your existing home, factoring in location and demand — it doesn’t consider how much it would cost to build the same home with today’s material and labour costs.
When it comes to insurance, your sum insured should be based on replacement cost, not market value.
Yes. Home insurance covers damage caused by hurricanes, subject to the terms and limits in your policy, unless hurricane coverage has been specifically excluded.
Yes. Home and contents insurance cover flood-related damage to your buildings and contents, subject to the terms and limits in your policies. Under your contents coverage, this can also include replacing fresh water in your home’s water tank if it becomes contaminated by saltwater during a storm or flood.
Marine insurance
Yes. To purchase or renew a marine insurance policy, you’ll need proof that your mooring has been professionally inspected within the last 12 months and found to be safe and suitable for your vessel.
Vessels 20 years or older require a professional marine survey to help determine the appropriate level of coverage you will need in your personal marine insurance policy.
Comprehensive marine insurance can cover weather-related damage to your boat, including damage from hurricanes and windstorms. Coverage depends on your policy terms and where your vessel is moored, as some locations may be excluded.
We recommend carefully reviewing your policy or speaking with our team to make sure you understand what’s covered before a storm hits.
Travel insurance
Yes. If you’ve selected trip cancellation coverage, cruise cancellations are covered, subject to the terms in your policy. Coverage begins on the day you purchase your policy and ends when you return to Bermuda.
If you have selected personal property coverage with your travel insurance policy, it would cover the cost of replacing travel documents such as passports, visas, and tickets, subject to policy terms.
Trip cancellation coverage only applies in specific situations, such as:
- Death, illness, or injury of the traveler or a close relative
- Jury duty
- Major damage or a break-in at your home
Electronics such as laptops, mobile phones, and cameras are covered under the personal property section of your travel insurance policy. There is a single-item limit of $1,000, and any item valued above this amount must be specifically listed on your policy.