The correct answer is: B. Insured Pension scheme.
An insured pension scheme is a type of pension scheme in which the employer pays premiums to an insurance company, which then invests the money and pays out the pension benefits when the employee retires.
An uninsured pension scheme is a type of pension scheme in which the employer is responsible for investing the money and paying out the pension benefits when the employee retires.
Both insured and uninsured pension schemes have their own advantages and disadvantages. Insured pension schemes are generally considered to be more secure, as the insurance company is responsible for paying out the pension benefits even if the employer goes bankrupt. However, insured pension schemes can also be more expensive, as the employer has to pay premiums to the insurance company. Uninsured pension schemes are generally considered to be less secure, as the employer is responsible for paying out the pension benefits even if the employer goes bankrupt. However, uninsured pension schemes can also be less expensive, as the employer does not have to pay premiums to an insurance company.
The type of pension scheme that is most appropriate for an employer will depend on a number of factors, such as the size of the employer, the financial stability of the employer, and the risk appetite of the employer.
Here is a brief explanation of each option:
- A. Uninsured pension scheme. An uninsured pension scheme is a type of pension scheme in which the employer is responsible for investing the money and paying out the pension benefits when the employee retires.
- B. Insured Pension scheme. An insured pension scheme is a type of pension scheme in which the employer pays premiums to an insurance company, which then invests the money and pays out the pension benefits when the employee retires.
- C. Both A & B. This option is not correct, as it is not possible for an employer to have both an insured and uninsured pension scheme at the same time.
- D. None of the above. This option is also not correct, as it is possible for an employer to have an insured pension scheme.