ASISA Academy/Foundation Trustee Training Session | PENSION FUNDS ACT SECTION 37C DEATH BENEFITS WORKSHOP

The following table summarises the Learning Areas and Learning Outcomes covered in this workshop:

PFA SECTION 37C DEATH BENEFITS (½ day – 3 hours)

Learning Area Learning Outcomes By the end of the course successful participants will be able to…

Background and trustee duties

• Describe the social objectives of section 37C and the removal of the freedom of testation and overriding provisions of section 37C as regards the wills and a beneficiary nomination form
• Interpret the duties and responsibilities of trustees relative to S37C.
• Summarise the relevant Law of Persons insofar as it affects death benefits. 

• Interpret the legal requirements of S37C relative to beneficiaries and dependants.
• Describe the processes of identification of dependants - legal, factual, or potential.
• Explain the legal duty of support as per the common law and the category of persons contemplated in paragraph (a) of the definition dependant with reference to relevant case law
• Discern and analyse dependants’ financial needs.

Learning Area Learning Outcomes By the end of the course successful participants will be able to…

• Assess and design systems to enable trustees to make benefit allocations compliant with S37C and the principles of equitable and air.
• Describe the implications for trustees of non-compliance or poor judgement in discretionary application. 

• Categorise and describe the full range of dependant types.
• Discuss the implications of wider familial complexities deriving from customary marriages, children born out of wedlock, common law unions and adopted/foster children. 

• Identify the alternative types of payment prescribed and available.
• Assess the processes of paying benefits to beneficiaries/dependants.
• Evaluate logistical challenges where beneficiaries/dependants have limited internet or banking access. 

• Design and distribute key features of death benefits to all fund members/dependants.
• Solve challenges of communication with rural versus urbanised members.
• Formulate a contact/call centre model to receive and process member/dependant queries 

• Analyse the practical impact of the SCA ruling in FundsAtWork Umbrella Pension Fund v Guarnieri on trustees and funds.
• Support the application of the doctrine of functus officio to board decisions.
• Discuss the proposed changes to section 37C as per Conduct of Financial Institutions Bill.