administrative errors to improve scheme enefits

Case studies

The background

Our client had lost confidence in their administrator after a number of issues had come to light – compounded by the administrator failing to rectify the issues appropriately. The scheme rules were not applied correctly and benefits had to be recalculated.

LCP was appointed as the consultant to the scheme and were asked to carry out a comprehensive data cleanse exercise of pension benefits in payment.

Our solution

The priority was to continue delivering a smooth service to its members, paying the benefits expected and ensuring that new benefits payments were correct.

We worked collaboratively with the administrator, making sure that all future benefits were correct.

Working constructively with our client, we agreed a pragmatic approach to carrying out a data cleanse exercise and recalculating the benefits in payment.

We made sure that the data capture exercise was efficient so we only needed to examine each member’s file once.

The actuarial and administration team worked closely to:

  • capture the data
  • recalculate benefits
  • check and review the calculations
  • update the electronic records
  • draft member communications, and
  • report on the results and impact to the trustees.

Throughout we kept the trustees up to speed and obtained the necessary trustee decisions through regular meetings.

The results:

All data and benefits were rigorously checked and comprehensive electronic records established.

The trustees were confident that the legal issues had been addressed, the correct benefits paid and all the right data was in place for the scheme to be administered and valued accurately and efficiently.

Where benefits in payment had to be amended we worked closely with the employer’s HR and Payroll team to deal sensitively with members.

How we can help

We can help you understand how the structure of your scheme governance measures up to your peers and best practice.

Corporate change can often occur unexpectedly or quickly. For those sponsoring or managing pension schemes, the implications can be significant. DB pension liabilities and future DC pension arrangements, along with associated employee benefits, are a key consideration in any commercial transaction today.

We take a practical and cost effective approach to helping trustees improve pension scheme governance.

Do you need help to procure a new service or trustee? We have helped semi-states, multinationals and local companies carry out effective and efficient exercises to help them identify the service provider that best meets their needs.

We have significant experience of helping trustees to carry out reviews of its service providers.  

We offer a range of trustee training services to enable you to carry out your duties and responsibilities as a trustee of an Irish pension scheme.