SSS Death Claim Requirements. In the unfortunate event of a member’s death, the Social Security System (SSS) provides essential financial assistance to the family through death benefits. These benefits are designed to support the deceased member’s beneficiaries during difficult times.
Whether paid as a monthly pension or a lump sum, these benefits ensure that the family receives the necessary financial support.
In this comprehensive article, we will explore the types of death benefits, eligible beneficiaries, the amount of benefits, and the process for claiming them. This guide will also highlight various key points to help beneficiaries better understand the benefits available to them.
Types of Death Benefits
The death benefits provided by the SSS are categorized into two main types: the monthly pension and the lump sum benefit. Both options aim to ease the financial burden on the deceased member’s dependents, but the type of benefit received depends on the member contribution history.
1. Monthly Pension
The monthly pension is a lifetime cash benefit paid to the primary beneficiaries of a deceased member. To qualify for this, the deceased member must have contributed to the SSS for at least 36 months prior to the semester of death. This type of benefit is ideal for beneficiaries who require ongoing financial support.
2. Lump Sum Benefit
The lump sum benefit is a one-time cash payment given to the primary beneficiaries if the deceased member had less than 36 monthly contributions before the semester of death.
In cases where there are no primary beneficiaries, the secondary beneficiaries (dependent parents) are entitled to the lump sum benefit. If no designated secondary beneficiaries exist, the benefit is paid to the deceased member’s legal heirs according to the law of succession under the Family Code of the Philippines.
SSS Death Claim Requirements
One of the critical aspects of the death benefits is determining who the eligible beneficiaries are. The SSS prioritizes primary beneficiaries, but in the absence of these, secondary beneficiaries or other designated persons may be entitled to receive the benefits.
1. Primary Beneficiaries
The primary beneficiaries are typically the deceased member’s dependent spouse (until remarriage) and dependent legitimate, legitimated, legally adopted, or illegitimate children.
These children must be unmarried, not gainfully employed, and below 21 years of age. In some cases, children over 21 years old may qualify if they are incapacitated and incapable of self-support due to physical or mental disabilities, whether congenital or acquired during their minority.
2. Secondary Beneficiaries
In cases where no primary beneficiaries exist, the dependent parents of the deceased member become the secondary beneficiaries. If the member parents are no longer alive, any other person designated by the member in their SSS records may receive the lump sum benefit. In the absence of a designated beneficiary, the legal heirs inherit the death benefit according to the law of succession.
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Amount of Benefit
The amount of the death benefit, whether in the form of a monthly pension or a lump sum, is determined based on the deceased member contribution history and credited years of service (CYS). Let break down the calculation of these benefits.
1. Monthly Pension Calculation
The monthly pension is determined using one of three formulas, and the highest calculated amount is awarded to the beneficiary:
- 300 + (20% x AMSC) + (2% x AMSC x (CYS – 10)): This formula accounts for the Average Monthly Salary Credit (AMSC) and the Credited Years of Service (CYS).
- 40% x AMSC: This calculation provides a simple percentage of the average monthly salary credit.
- Minimum pension: A minimum pension amount is set based on the deceased member’s CYS. If the member had less than 10 CYS, the minimum pension is P1,000. If the member had at least 10 CYS, the minimum pension is P1,200, and for members with at least 20 CYS, the minimum is P2,400.
2. Lump Sum Amount
If the deceased member had less than 36 monthly contributions, the lump sum benefit is calculated as the higher of the following:
- The monthly pension multiplied by the number of monthly contributions paid before the semester of death.
- Twelve (12) times the monthly pension.
For secondary beneficiaries, the lump sum benefit is calculated based on whether the deceased member had contributed at least 36 months:
- If the member had paid at least 36 monthly contributions, the benefit is 36 times the monthly pension.
- If the member had fewer than 36 contributions, the benefit is the higher of the monthly pension multiplied by the number of contributions, or 12 times the monthly pension.
Benefit Payment Process
Once the amount is determined, the payment of the death benefit can be received through several channels. Beneficiaries are required to use their UMID card enrolled as an ATM for direct disbursements.
If a UMID card is not available, the beneficiary may receive the payment via other electronic methods, such as PESONet Participating Banks, E-wallets, Remittance Transfer Companies (RTC), or Cash Payout Outlets (CPO).
For beneficiaries who are confined in institutions such as penitentiaries or rehabilitation centers, the monthly pension is paid via check. This ensures that even those who cannot access traditional banking services are still able to receive their benefits.
Other Benefits for Survivorship Pensioners
In addition to the death benefit, the primary beneficiaries receiving the monthly pension are also entitled to additional benefits:
- 13th Month Pension – Payable every December, this serves as a bonus payment to the survivors.
- Funeral Benefit – This benefit is given to the person who shouldered the funeral expenses of the deceased member.
- P1,000 Additional Benefit – Effective January 1, 2017, all survivorship pensioners are entitled to receive an additional P1,000 per month.
Dependent Pension
Eligible dependents of the deceased member may also receive a dependent pension. This is available to the legitimate, legitimated, legally adopted, or illegitimate children of the deceased, provided they were conceived or adopted before the member death. Each child receives a dependent pension equivalent to 10% of the member monthly pension or P250, whichever is higher.
The pension is paid for each dependent child, but no more than five dependents can receive the benefit. In cases where more than five eligible dependents exist, legitimate and legally adopted children are given preference over others.
The dependent pension will cease when the child reaches 21 years old, marries, becomes employed, or passes away. If the dependent is incapacitated and unable to support themselves, they may continue to receive the pension even after the age of 21.
Possible Deductions from the Death Benefit
In some cases, the death benefit may be reduced due to existing obligations or prior payments made to the deceased member. These deductions include:
- Unpaid Short-Term Loans – All outstanding loans, such as salary loans, will be deducted from the death benefit.
- Overlapping Benefits – Benefits such as sickness, maternity, or partial disability payments received after the member’s death will be deducted.
- Unemployment Benefits – If the deceased member received unemployment benefits that were deemed invalid after filing a complaint, those amounts may be deducted.
- Overpayment of Pensions – Any pensions mistakenly paid after the member death, or overpayments made to the member or beneficiaries, will be deducted from the benefit.
Claiming the Death Benefit Required Documents
Claiming the death benefit requires the submission of specific documents to any SSS branch office. The basic documents include:
- Death Claim Application Form
- Member’s/Claimant’s Photo and Signature Card
- Death Certificate (from the Local Civil Registry or the Philippine Statistics Authority)
- UMID Card or other disbursement account details (such as a passbook or ATM card)
Additional documents may be required depending on the circumstances of the claim, such as marriage certificates, birth certificates for children, or affidavits if necessary.
Special Considerations for Overseas Deaths
If the member passed away abroad, the claimant must submit additional documentation, such as a death certificate issued by the foreign government or a Report of Death from the Philippine Embassy. For marriages and births abroad, similarly translated and authenticated documents will be required.
Conclusion
The Social Security System death benefit program serves as a critical source of financial support for families coping with the loss of a loved one. Understanding the different types of benefits, eligibility criteria, and the required documents ensures that beneficiaries can navigate the process effectively.
Whether through a monthly pension or a lump sum benefit, these payments provide vital assistance to the deceased member’s family, helping them manage the financial challenges that come with loss.
As families plan for the future, it’s essential to recognize the importance of maintaining regular contributions to ensure access to the highest possible benefits. This comprehensive approach to death benefits ensures that the legacy of the deceased member can continue to support their family, even in their absence.