What is an unclaimed benefit?According to the Pension Funds Act, an unclaimed benefit is any lump sum or pension benefit that is due to a retirement fund member (or his/her beneficiaries) that has remained unclaimed for a period of time.
If you were a member of a retirement fund in South Africa - even as far back as 1981 - you may still be entitled to a benefit that hasn’t been paid out because your former fund is unable to contact you. If the fund’s rules provide that you, the member, can claim this amount, the fund can pay these unclaimed benefits into a pension or provident fund, and the member or his or her beneficiaries can claim the unclaimed benefit.
You can check if you qualify by calling one of our regional offices and providing them with a few details.
- Gauteng: 011 217 1195
- Western Cape: 021 509 1098
- KwaZulu Natal: 031 275 0816
- Eastern Cape: 041 391 6302
Retirement fund benefits cannot be forfeited. Benefits that cannot be paid are regarded as “unclaimed benefits”. Recent changes to legislation have made it possible for these benefits to be transferred from the employer fund to an Unclaimed Benefit Fund, such as the Old Mutual Superfund Unclaimed Benefit Pension and Provident Preservation Funds.
Yes! In many cases, members may be under the impression that they have received all of their benefit entitlement. A number of events have, however, resulted in additional income for funds. This income has been allocated to members, and in many cases, this resulted in more unclaimed benefits as these members had left and are still not aware of the additional allocation.
The following are examples of events which may have resulted in members being entitled to more than what they received when they exited their fund:
Big life assurance companies such as Old Mutual decided to become public listed companies, and in the process, their policyholders received free shares. Pension and provident funds also invested with these companies in policies on behalf of the members of their funds, and when these shares were given to the retirement funds, the funds allocated the proceeds to members.
The SA Government enacted legislation that compelled retirement funds to distribute surpluses held in retirement funds. As a result, some members who had already left - as far back as 1981 - became entitled to additional benefits.
Some members did not receive the full returns earned by the fund. This happened because certain retirement fund service providers had negotiated better interest rates with banks but did not give the funds the full benefit of the higher returns.
There are many other reasons, however, why people do not claim benefits that they are entitled to from retirement funds. Despite ongoing attempts by fund trustees and administrators to contact these beneficiaries, the problem of unclaimed benefits persists.
Please complete the Unclaimed Benefits Claim form for any unclaimed benefits within the Old Mutual SuperFund Provident or Pension funds.
The benefits transferred to the Old Mutual SuperFund Unclaimed Benefits Fund are invested in Old Mutual’s market-leading Absolute Stable Growth Portfolio, which targets returns above inflation over the long-term (in excess of ten years), while significantly reducing the volatility associated with market-linked investments. The Absolute Stable Growth Portfolio provides investors with an 80% guarantee.
For more information, download the fact sheet and performance reports below: