Margaret Wittkopp of Veritas Financial Services brings to light a pension scam. She teaches the difference between the full payout and the replacement pension. Insurance companies will offer you an attractive alternative: take the full payout and get a pension replacement for your beneficiary where the remaining balance becomes a life insurance policy. Sounds good until you realize the premium to keep the insurance policy afloat is far more than the money you "saved" by taking the full payout.