unknown date of birth

[Kevin C]

A participant who terminated in 1984 provided at least 3 different dates of birth while she was employed. The month and day were the same, but the years were 1921, 1928 and 1933. When she claimed benefits in 1998, the plan sponsor sent her a letter explaining that she needed to provide some kind of proof of her date of birth, so the correct distribution amounts could be calculated. She sent a birth certificate with the first name of the child whited out and her first name written over it. They called the county that issued the birth certificate and confirmed that it was not the participant’s birth certificate. They sent another letter explaining that the altered birth certificate was not sufficient unless she could show her name had been changed from the one listed on the birth certificate. If her name was not changed, they still needed some sort of proof of her date of birth. Participant’s grandchildren also called and were told the same thing. Nothing further has been heard from either the participant or her family.

We were discussing this person the other day. I did an internet search and found an obituary. I also looked her up on the social security death index. The date of birth listed with social security is the one from the altered birth certificate. Then, our client tells me they are suspicious that the person who contacted them in 1998 may not have been the same person who worked there. After 10 years, it seems very unlikely that anyone will ever provide verification of her date of birth. If the participant died, there is a death benefit payable, but we still have no way to determine how much it is.

How long would you continue to carry a liability for this person’s benefit?

[david rigby]

Fascinating.

Just my opinion, but I would make a "note to file" with the documentation you mentioned, and drop this person immediately, without any survivor benefits.

[SoCalActuary]

Your report from the county is sufficient to indicate that fraud was attempted.

The fact that ten years has elapsed since the claim is significant also.

I would say that no liability exists. Ten years is long enough for them to have solved their problems.

But, of course, this is just a message board, so you need to see a judge for a ruling.