What is a death benefit?
It is a cash benefit either in monthly pension or lump sum paid to the beneficiaries of a deceased member.
Who are the beneficiaries of a deceased member?
The primary beneficiaries are the legitimate dependent spouse until the person remarries and the dependent legitimate, legitimated, or legally adopted, and illegitimate children of the member who are not yet 21 years old. In the absence of primary beneficiaries, the dependent parents shall be the secondary beneficiaries. In their absence, any other person designated by the member as beneficiary in the member’s record.
What are the types of death benefits?
- the monthly pension; and
- the lump sum amount.
The monthly pension is granted only to the primary beneficiaries of a deceased member who had paid 36 monthly contributions before the semester of death.
The lump sum is the amount granted to the primary beneficiaries of a deceased member who had paid less than 36 monthly contributions before the semester of death. The secondary beneficiaries shall be entitled to a lump sum benefit.
How much is the monthly pension?
The monthly pension depends on the member’s paid contributions, including the credited yeas of service (CYS) and the number of dependent minor children but not to exceed five.
- The amount of monthly pension will be the highest of:
the sum of P300 plus 20 percent of the average monthly salary credit plus two percent of the average monthly salary credit for each credited year of service (CYS) in excess of 10 years; or
- 40 percent of the average monthly salary credit; or
- P1,000 if the member had less than 10 credited years of service (CYS); P1,200 if with at least 10 CYS; or P2,400 if with at least 20 CYS. The monthly pension is paid for not less than 60 months.
If the deceased member is survived by legitimate, legitimated, or legally adopted and illegitimate children, how is the monthly pension divided?
If a deceased member is survived by less than five minor legitimate, legitimated, or legally adopted children, the illegitimate minor children will be entitled to 50 percent of the share of the legitimate, legitimated or legally adopted children in the basic pension and 100 percent of the dependents’ pension.
In cases where there are no legitimate, legitimated, or legally adopted children, the illegitimate minor children shall be entitled to 100 percent of the basic pension.
How is the monthly pension paid?
The monthly pension is paid thru the beneficiary’s designated bank. The beneficiary is allowed to choose the bank nearest his residence thru which he wishes to receive his pension benefits under the “Mag-impok sa Bangko” program. This became mandatory effective September 1, 1993.
The beneficiary must open a single savings account and must submit to the SSS his saving account number and a photocopy of his passbook upon filing of application. The original passbook must be presented for authentication purposes.
Upon approval of the claim, the SSS will mail a notice voucher to the beneficiary informing him when to withdraw his benefit from the bank.
How much is the lump sum death benefit?
The primary beneficiaries of a deceased member who has paid less than 36 monthly contributions shall be entitled to lump sum benefit which shall be the higher of:
- monthly pension times the number of monthly contributions paid prior to the semester of death; or
- twelve (12) times the monthly pension.
- The secondary beneficiaries of the deceased member shall be entitled to a lump sum benefit equivalent to:
36 times the monthly pension; if the member has paid at least 36 monthly contributions prior to the semester of death; or
- monthly pension times the number of monthly contributions paid or twelve (12) times the monthly pension, whichever is higher, if the member has paid less than
- 36 monthly contributions prior to the semester of death.
Is there anything else a deceased member’s beneficiaries can avail of?
Yes, the deceased member’s beneficiaries are entitled to a 13th month pension payable every December and the funeral benefit, which is paid to whoever, shouldered the funeral expenses of the deceased member.
Survivorship pensioners prior to the effectivity of RA 7875 on March 4, 1995 are also entitled to hospitalization benefits under PhilHealth. They need to register under PhilHealth and must submit a DDR print-out indicating the type of claim is survivorship in nature and the effectivity date of pension or a copy of Death/Survivorship Certification issued by the SSS indicating the effectivity of the pension shall be submitted to PhilHealth.
Survivorship pensioners under the effectivity of RA 7875 on March 4, 1995 and thereafter, are no longer covered. However, those who wish to avail of PhilHealth benefits may enroll in the Individually – Paying Program (for voluntary/self-employed) or the Indigent Program (IP) of PhilHealth.