Recent discussions about data accuracy in retirement systems have captured widespread attention, bringing renewed focus to the broader issue of maintaining up-to-date retiree records. The challenge of managing participant data and keeping records accurate is a very real concern.   

With over 30 years of assisting plans in managing their participant records, we at The Berwyn Group have seen firsthand how outdated or incomplete records can significantly impact the administration of retirement benefits. There’s over $1 billion in overpayments made to deceased pensioners annually.  

The Reality of Retiree Data: The Challenge of Maintaining Accurate Participant Records 

Both government agencies and private pension funds have long struggled with keeping participant records current, leading to inefficiencies, payment errors, and compliance risks.  Plan administrators know all too well that data accuracy goes beyond identifying deceased participants. Plan administrators must continuously verify participant status, address changes, and eligibility to ensure benefits are distributed correctly. Amidst constant regulatory shifts, evolving system requirements, and the ongoing task of monitoring participant data, administrators are juggling an immense responsibility to keep their plans running smoothly.  

Administrators work diligently to keep records accurate, but they face challenges due to the complexity of managing, aggregating, and building efficient processes around participant data. They rely on Social Security records, state databases, employer records, and self-reported participant information, yet privacy restrictions, regulatory changes, and data inconsistencies make accuracy difficult to maintain.  

The issue was further compounded in 2011 when access to the Social Security Administration’s Death Master File (SSA DMF) was restricted due to privacy concerns. Previously a key resource for verifying deaths with just a social security number, these limitations have made it significantly harder for pension funds and government agencies to detect and prevent overpayments.  

Today, a large percentage of deaths are validated through obituaries. With no editorial standards, it’s like putting a complex puzzle together – often, with pieces missing. It isn’t uncommon for obituaries to not list a date of birth, use a nickname or skip sharing a middle name.  

Why This Matters – A Proactive Approach is Key  

Inaccurate participant records are not just a financial drain—they pose significant compliance risks for pension administrators and government agencies. With growing scrutiny on inaccurate records, the consequences extend beyond financial losses and regulatory penalties. Misallocated funds can also spark public and media backlash, damaging an organization’s reputation. The complexities of data management, including fraudulent claims and unintentional discrepancies, create challenges in maintaining accurate records, ultimately impacting the stability of retirement systems that millions rely on.  

At The Berwyn Group, we recognize the dedication of plan administrators in safeguarding pension funds, and we understand that maintaining up-to-date participant records requires specialized processes. That’s why we aggregate state and Social Security Administration records, combining them with our proprietary obituary database—built from over 40,000 sources and refined over decades. This data network enables us to identify discrepancies with unmatched accuracy, helping funds around the country maintain clean, reliable records. In 2024 alone, we identified and validated over 1.3 million deaths across the United States. 

By leveraging proactive mortality verification algorithms and a structured process for monitoring participant data, we help our clients mitigate financial risk, strengthen compliance, and improve operational efficiency—promoting the integrity of retirement benefits for all.  

Moving Toward Greater Efficiency  

Ensuring that retirement benefits reach the right recipients is an ongoing challenge that requires diligence, accuracy, and the right tools. Administrators work tirelessly to maintain accurate participant records, but the increased complexity of aggregating data and establishing effective processes makes it challenging to identify every discrepancy. A proactive and well-defined process is essential for bridging these gaps and refining the accuracy of retiree records.  

If you’re interested in learning more about how proactive participant monitoring and structured data processes can help improve your organization’s participant management, The Berwyn Group is here to help. As data privacy becomes an increasing priority, our new CertiDeath® Paragon™ solution is designed to significantly reduce—or even eliminate—the need to transfer sensitive participant information while providing validated death audits. Learn more here: https://berwyngroup.com/paragon/