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Zurich is an international insurance group with a UK pensions and savings business. Zurich has restructured its UK book more than once, so check the paperwork: an older plan may now be administered by a different company even though the Zurich name is on the statements. When a Zurich pension holder dies, the fund value can be paid to a beneficiary without a grant of probate in most cases.
In most cases, no. A Zurich personal or workplace pension is a contract between the member and Zurich rather than a trust, so there are no trustees; the discretion over who receives the death benefit sits with Zurich as scheme administrator under the plan rules. Because the member had no absolute right to direct payment, Zurich can pay a beneficiary directly without a grant of probate.
If there is no nomination and no suitable beneficiary, the fund may be paid to the estate, potentially triggering the need for probate.
The death benefit for a money purchase pension is the fund value at the date of death. Under the pensions tax rules a beneficiary may be able to take it as a lump sum, keep it invested in beneficiary drawdown, or buy an annuity — but which of those a particular plan supports is a matter for the plan, and providers change what they offer. Ask Zurich which options are available on this plan rather than assuming all three are.
Some Zurich pension policies (particularly older group pension schemes) may also include a death-in-service benefit. Check the specific policy documents or ask the HR department of the employer.
Zurich pension holders should complete an expression of wishes form saying who should receive the fund. Zurich considers it carefully but is not legally bound by it. That discretion is what currently keeps the fund outside the estate for inheritance tax — but only until 5 April 2027, as set out below.
Members should update their expression of wishes after any major life event such as marriage, the birth of a child, or separation.
See GOV.UK for the latest guidance on tax on a private pension you inherit.
From 6 April 2027 most unused pension funds and death benefits come into the estate for inheritance tax. HMRC's policy paper of 26 November 2025 confirms the change applies "regardless of whether the pension scheme administrators or scheme trustees have discretion over the payment of any death benefits", so the discretion described above will no longer keep the fund outside the estate. Death in service benefits payable from a registered pension scheme are excluded, but an unspent money purchase fund is not one of those.
The spouse, civil partner and charity exemptions are kept, so a fund passing to a surviving spouse or civil partner remains exempt. Personal representatives, not scheme administrators, are liable for reporting and paying any inheritance tax due, and can direct a scheme to withhold 50% of the benefit for up to 15 months while that is settled.
Read our full guide to pensions and inheritance tax from April 2027.
Without a nomination, Zurich uses its discretion and will typically pay the surviving spouse or civil partner. If no suitable beneficiary is found, the fund may be paid to the estate, making it subject to the probate process.