EPFO's new death claim process: Aadhaar seeding not always necessary, here's how to get it

New Delhi: Employees' Provident Fund Organisation (EPFO) has recently updated its death claim process, allowing physical claims to be processed without Aadhaar seeding in specific cases. This change aims to alleviate the burden on families facing difficulties with Aadhaar-related discrepancies. However, this relaxation is subject to the approval of the Officer in Charge (OIC) and thorough verification to prevent fraudulent activities.

Relaxation for accurate UAN card details

In scenarios where member details are correct on the Universal Account Number (UAN) card but inaccurate or incomplete in the Aadhaar database, the EPFO can grant exceptions. This measure ensures that families of deceased members can proceed with their claims without undue delays caused by Aadhaar inconsistencies.

Challenges in processing claims

Families of deceased EPFO account holders often face rejection of their physical claims due to unrectified or outdated Aadhaar details. This issue is exacerbated by field offices encountering difficulties in updating UID details. The EPFO’s new rule now permits the processing of physical claims without Aadhaar seeding in death cases, provided there is stringent verification and approval from the OIC.

Verification and due diligence

The EPFO has outlined a detailed process to ensure the authenticity of claims. According to a statement dated May 17, 2024, the OIC must approve an e-office file that meticulously documents the verification procedures. This protocol, combined with additional due diligence measures directed by the OIC, aims to mitigate the risk of fraudulent withdrawals.

Specific guidelines for field offices

For cases where Aadhaar data is accurate but the UAN details are not, field offices must follow specific guidelines. As per Paragraphs 6.9 and 6.10 of JD SOP version-2 dated March 26, 2024, they must rectify UAN data, seed, and validate the Aadhaar in line with the instructions in the Circular dated September 24, 2020.

Challenges faced by field offices

The EPFO has acknowledged several challenges faced by field offices in processing claims:

1. Deactivated Aadhaar accounts.
2. Technical issues in validating Aadhaar through the UIDAI database.
3. Unavailability of Aadhaar information for cases predating its implementation.
4. Inaccuracies or incompleteness in member details within Aadhaar records.

Processing physical claims without UID seeding (For Deaths Only)

This new rule allows families to claim their deceased member's EPF even if their Aadhaar wasn't linked to the UAN (Universal Account Number). However, certain steps are crucial:

• OIC Approval: The Officer In Charge (OIC) must grant approval for each claim through an e-office file.
• Verification Measures: Rigorous verification procedures will be implemented to confirm the deceased's EPF membership and the legitimacy of the claimant(s). This ensures the rightful beneficiaries receive the funds.
• Fraud Prevention: The OIC will have the authority to take additional due diligence measures to prevent any fraudulent withdrawals.

Benefits for claimants

This revised process aims to eliminate unnecessary delays for families during a difficult time. By allowing physical claims without mandatory UID seeding in death cases, the EPFO is ensuring quicker access to these funds for the bereaved.