VNPF to roll out enhanced Special Death Benefit soon
April 21, 2026 10:04 pm | Posted in Business News | Share now TwitterFacebook
By Anita Roberts.
The Vanuatu National Provident Fund (VNPF) will soon roll out the enhanced Special Death Benefit (SDB) for its members following its launch next week.
The SDB will be introduced through the National Insurance Services (Vanuatu) Limited (NISVL), a wholly owned subsidiary of the VNPF.
The subsidiary was established after the Reserve Bank of Vanuatu (RBV) granted VNPF a captive licence to provide these more tailored benefits last year. This licence will enable VNPF to offer death and funeral benefits to its members on more favourable terms than previously available.
Deputy General Manager (GM) of VNPF, Richard Edwin, explained that VNPF previously deducted approximately VT640 as an annual premium for SDB. The scheme provides up to VT230,000 to beneficiaries if a member passes away before the age of 55, provided contributions are consistent.
“That was repealed in 2021 following an amendment to the VNPF Act. To carry on this product, we created a captive insurance arrangement to accommodate these benefits. Under the SDB, members will still pay a premium, similar to other insurance schemes,” he said.
“A member will pay an annual premium of VT7,500 and be entitled to a benefit of up to VT500,000. When a member passes away, family members or nominated beneficiaries can claim financial support.
“Nominated beneficiaries can also claim up to VT150,000 as a Funeral Expense Benefit to cover costs directly related to a funeral, such as charter flights, a coffin, or burial space. It would require a death certificate and supporting documents.
“An additional package is VT100,000 provided to a member upon the death of a dependent to help cover funeral costs.
“These three packages are listed under the first product of the NISVL, which is the SDB. Eligibility requires an annual contribution of VT7,500.”
The Deputy GM said the SDB is optional, which means members can choose whether to join. Members will have to pay over the counter at any VNPF branch to join and access the benefits.
Mr. Edwin said that NISVL will expand its products to include medical insurance for its members, allowing access to first-class healthcare services in the country instead of travelling overseas.
He added that these initiatives align with VNPF’s mandate to serve as a social safety net for its members, providing broader support beyond retirement savings.
The Deputy Prime Minister and Minister of Finance is expected to launch the enhanced SDB next week.
