Could you be one of the South Africans entitled to a share of the estimated R89b in unclaimed benefits held by financial institutions?

Rising Sun reports that JustMoney.co.za, a platform that helps South Africans make informed financial decisions, explains unclaimed benefits and offers tips on how to check if you are eligible.

What are unclaimed benefits?

Unclaimed benefits are financial assets or payouts that have not been collected by the rightful recipient within a specified time frame. These include:

• Retirement and pension-related benefits – Unclaimed pension and provident funds, retirement annuities, preservation funds, and unpaid death or disability benefits.
• Insurance payouts – Life insurance claims, funeral policies, endowment policies, and income protection benefits.
• Investment and bank accounts – Dormant bank accounts, unit trust investments, estate funds, bonds, unclaimed shares and dividends. For example, you may unknowingly hold shares through a BEE scheme at a former workplace.

• Employee and government benefits – Workplace compensation, Unemployment Insurance Fund (UIF) benefits, state social grants, and education funds.

Why are benefits unclaimed?

Many people are unaware they are entitled to these funds or forget to claim them. Outdated contact details, lack of employer-provided information, and poor administration also contribute to unclaimed benefits. Additionally, some beneficiaries pass away without informing their families about these funds.

Foreigners who leave South Africa may face challenges claiming benefits, while others may lack the necessary documents to verify their identity or relationship to the original beneficiary.

Missed opportunities

Failing to claim benefits means missing out on money that could provide financial relief, help pay off debt, contribute to savings, or improve retirement security.

Leaving assets unclaimed for long periods may reduce their value due to poor investment performance and administrative costs, says JustMoney operations manager Sarah Nicholson.

Check eligibility

There are several ways to check if you are entitled to unclaimed benefits:

• Your employer or HR department – Former employers may have records of retirement contributions and can direct you to the relevant fund administrator.
• Financial Sector Conduct Authority (FSCA) – The FSCA website has an unclaimed benefits search tool where users enter their ID number and details to check if they have benefits due. Visit www.fsca.co.za.
• Johannesburg Stock Exchange (JSE) – South African companies hold about R4.5b in unclaimed dividends. The JSE’s Claim It site helps users search for these funds. However, only participating companies such as Old Mutual, Sasol, and Growthpoint Properties are listed.
• Tracing companies and tools – Verifi offers an online tool to check life insurance and investment policies, available free once a year. Visit www.verifi.co.za.
• Department of Labour – Check UIF benefits on the Department of Employment and Labour’s website (www.labour.gov.za) or visit a labour centre.

• Association for Savings and Investment South Africa (ASISA) – ASISA members paid R22.7b in previously unclaimed assets in 2021. Visit www.asisa.org.za.

Gather documentation

Check with the fund administrator or FSCA for required documents. Typically, you will need:

• A completed claim form
• ID, proof of address, and banking details

• Proof of employment and contributions, such as a payslip

For claims as a spouse, a certified copy of the deceased member’s death and marriage certificates is required. Estate executors need a will and a letter of authority from the Master of the High Court. Birth certificates are necessary when claiming for minor children.

“Being organised, gathering the necessary documentation, and keeping records of correspondence is key to claiming what’s rightfully yours. It’s also worth getting advice from a financial adviser or planner on how best to allocate or invest the money,” Nicholson advised.

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