What is the Supplementary Death Benefit (SDB) Plan, who can participate, and what is the amount of the benefit payable?
The SDB Plan, under Part II of the CFSA, is a form of term reducing life insurance, in which members of the regular force are participants during their service, and also while in receipt of a CF pension. After a member’s release, SDB Plan participants are deemed to have elected to remain in the plan and premiums are automatically deducted from their pension. Members who enrolled in the Canadian Forces prior to 1 January 1955 had the option to opt out of the SDB Plan, therefore, some members/pensioners are not participants to the plan. After 1 January 1955, it was compulsory for members to participate in the plan while regular force members. The SDB Plan is not compulsory for pensioners. Members of the regular force contribute 5 cents for every $250 of their salary to the SDB Plan. After retirement the contributions remain the same until age 61, after which time the premiums are reduced by 10% of the original amount each year thereafter, until the premiums are paid up. The amount of the
