Divorce Dex.com: Pension Benefit Guaranty Corporation (PBGC)

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Definition Pension Benefit Guaranty Corporation (PBGC) - a federal surety for qualified pension plans.

Application in Divorce Established by the Employee Retirement Income Security Act of 1974 (ERISA), PBGC guarantees the benefits of pensioners of qualified retirement plans without sufficient assets.

PBGC has salvaged the pension of retired workers from many failed corporations. However, PBGC payouts are not as large as the retirees expected to receive, and retirement medical benefits, it any, are not covered.

The resources of PBGC have become very stressed by the number of claims put on the corporation.

See ERISA.

Resources: 29 U.S.C.A § 1302.

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