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New laws protect grant beneficiaries

The new regulations are a step in the right direction and will assist in resolving unauthorised deduction disputes

THE South African Social Security Agency (SASSA) has urged social grant beneficiaries to make alternative arrangements with financial service providers on how premiums will be paid in future.

This follows regulation amendments to the Social Assistance Act of 2004 this year, which determines that some social grant beneficiaries will have to make alternative arrangements regarding the payment of funeral insurance premiums.

SASSA spokesperson Kgomoco Diseko said amending these regulations was a necessary and responsible step taken by SASSA and the Social Development Department to protect vulnerable beneficiaries against unscrupulous financial service providers.

‘The law allows for only a maximum of 10% of the grant value to be deducted and requires that SASSA should be informed whenever a beneficiary enters into a contract with a funeral insurance service provider.’

Read the full story in the ZO Weekender.

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