Pension, Fund and Liability Insurance Administration

By the end of the course, you will have:

• a comprehensive understanding of pension trustee schemes and plans requiring insurance cover
• the awareness, maturity and knowledge to understand insurance needs as well as liabilities for one’s pension schemes and to take calculated, well-thought decisions therein
• the ability to forecast issues and liability claims that could arise in future based on various scenarios and to set up control mechanisms and insurance programs
• the capability to provide immense value and knowledge to the organisation in choosing the right insurance for the right scheme, thereby helping one’s organisation secure itself against losses and demonstrating one’s potential to handle higher roles and responsibilities
• the confidence, experience and knowledge to train other professionals of trustee organisations on choosing the correct insurance programs
• a sense of satisfaction contributing to safeguarding organisational interests and funds against false allegations, thereby playing a major role in organisational development
• the required skill and capability to compete with certified pension trustees in the market
• the knowledge, experience and exposure to easily receive formal certifications in this space for oneself and/or one’s organisation

COURSE OUTLINE

Overview of Pension Funds

• Basic structure
• Regulations
• Investment mandates
• Investment styles

Pension Trustee Insurance

• Definition and objectives
• Advantages
• Challenges

Types of Trustees

• Individual trustees
• Corporate trustees
• Member-nominated trustees
• Employer-nominated trustees
• Professional trustees
• Chair of trustees

 Fiduciary Duties of Pension Trustees

• Acting in line with trust deeds and rules
• Acting in the best interest of scheme beneficiaries
• Acting impartially
• Acting prudently, honestly and responsibly

Trustee Powers

• Accept scheme contributions
• Decide the investment strategy
• Amend scheme rules
• Admit members on special terms
• Increase member benefits
• Deal with a funding surplus
• Wind up a scheme

Factors/Claims Triggering Pension Trustee Liability Cover

• Breach of trust
• Breach of duty
• Breach of statutory provisions
• Maladministration
• Negligence
• Administration errors
• Wrongful omissions
• Misstatements/Misleading statements

Factors Influencing Choice of Insurance Provider

• Financial stability
• Reputation for paying claims
• Level and quality of service
• Scope/Coverage

Factors Influencing Pension Plan Investments

• Knowledge of plans and schemes
• Investment tradition
• Self-incentives (defined benefit versus defined contribution)
• Legal and regulatory factors
• Global financial regulation
• Risk mitigation tools
• Income growth
• Unemployment rate

Common Issues/Concerns of Pension Trustees

• Financial outcomes
• The expertise of support staff
• Value for money

TRAINING METHODOLOGY

The training methodology combines lectures, discussions, group exercises and illustrations. Participants will gain both theoretical and practical knowledge of the topics. The emphasis is on the practical application of the topics and as a result participant will go back to the workplace with both the ability and the confidence to apply the techniques learned to their duties.