Pension firm paid N77b to the relations of deceased workers

Mr Sunday Thomas

A total of N77.18bn has been paid to the next of kin of 27,321 deceased workers as pension benefits of their breadwinners under the Compulsory Pension Scheme.

The amount, which was paid as of the first quarter of this year, showed an increase of N25.9bn over N52bn.9bn recorded as of the first quarter of last year.

These figures were contained in the latest report of the National Pension Commission on pension matters as obtained by Punch correspondent.

NAICOM said the amount (N77.18bn) represented what had been paid to the beneficiaries of the deceased employees from the inception of the scheme to the end of the first quarter of 2015.

Experts noted that more relatives of deceased workers were now coming out to demand for the benefits of their breadwinners following the reform of the pension administration, which had simplified the claim and entitlement process.

The Pension Reform Act 2004 was amended last year as part of the reforms and it gave birth to the Pension Reform Act 2014.

The Director-General, Nigerian Insurers Association, Mr. Sunday Thomas, said, “The delays that arise in transferring the benefits from insurance firms to the PFAs when there are group life insurance claims and the demand for letters of administration have been removed.


“The provision of the insurance law regarding payment of claims is now being implemented, which means the main beneficiary will be paid directly and that reduces the delay that occurs in claims settlement.”