Scottish Widows has called for waiver of contribution to remain an under the new contribution regime outlined in the Government's Consultation Brief Number 6 on stakeholder pensions.
Waiver of contribution benefit currently allows personal pension policyholders to continue building their pension fund during prolonged bouts of illness or disability.
But the Government has brought into question the validity of such a policy under the new unified contribution pension regime.
Scottish Widows says the relatively low cost benefit provides customers with valuable protection.
Scottish Widows pensions strategy manager Ian Naismith says: "We believe the facility should be possible under the new regime although the cap on charges means it is unlikely to be marketed under basic stakeholder plans. It will remain an important feature for personal pensions which will offer greater flexibility than stakeholder "