Pension Fund Trustees Liability



A multi-billion Rand industry, in South Africa, there are up to 3500 registered funds with over 11 000 000 members and investments exceeding R2000-billion. Responsible for billions of Rands and effectively people’s lives, it’s for good reason that the Pension Fund Act places onerous responsibilities on trustees, and they may be held personally liable if their fund suffers a loss as a result of their own actions or failure to act. Effectively this puts a trustee’s entire personal estate at risk and if a judgement goes against them, they could forfeit all their attachable assets.

All too often however, the appointed board of trustees does not have the knowledge and expertise to handle the various complexities of the pension fund and third-party service providers are instated to carry out the business of the fund. Not a fail-safe approach to pension fund management, losses may be caused by the appointed third-party making it especially important for trustees to ensure that providers possess adequate Professional Indemnity and Fidelity Guarantee cover, and do not limit their liability in service level agreements.


Pension funds, as well as their trustees, need coverage and Camargue’s Pension Fund Trustees Liability insurance protects the fund against loss resulting from fraud and dishonesty by an officer or trustee; negligence by an officer or trustee and computer crime committed by a third-party.

Protecting the long-term security of accrued benefits for the pension fund is the responsibility of the trustees. The trustees are duty bound to ensure that members’ pension obligations continue to be suitably funded and secured. Pension Fund Trustees Liability insurance safeguards this obligation.


The Fund is covered against:

  • Errors and omissions
  • Theft and fraud
  • Third party computer crime

Trustees and Principal Officers receive:

  • Professional Indemnity cover

Additional Coverage:

  • Claims preparation costs
  • Costs for recovering losses that exceed the limit of indemnity
  • Costs for reinstating office records
  • One free reinstatement


Camargue’s unique M³ approach to insurance is geared towards managing, mitigating and migrating critical business risks – an outcome achieved through the provision of value-added risk benefits to policyholders. Notwithstanding the coverage provided in terms of the policy, the additional risk management benefits further enhance the Camargue product offering and go beyond simple insurance. The overall result is a well-rounded and complete solution to the risks faced in a commercial environment.

Risk Management services included in the policy cover:

  • Account Verification
    Bank account verification for large payment.
  • Crisis Communication & Public Relations
    Skilled support in managing public relations crises and avoiding online media disasters.
  • Cyber Vulnerability Scan (CVS)
    A vulnerability scan is an inspection of the potential weaknesses in the security of a computer network. The CVS only requires the details of your externally facing internet protocol (“IP”) addresses, in order to examine for known vulnerabilities. Therefore it sees only what an outside intruder would see (like your locks, alarm and motion detectors) and tests the perimeter security – with no work required by you.
  • Pension Fund Adjudicator Response
    One complimentary response to a Pension Fund Adjudicator complaint per policy period
    High-level analysis of pension fund in order to highlight areas of potential risk
    High-level analysis of pension fund service level agreements in order to highlight areas of potential risk.
  • Private Arbitration Services
    Offered through TOKISO Dispute Settlement – this service works towards the fast, equitable resolution of disputes between the insured and their clients. As far as possible court proceedings are avoided saving time, money and more importantly reputation.
  • Surveys
    Corporate governance surveys.
  • Training
    Trustee and principal officer education.


Vaidah Chipadza
Divisional Director

011 778 9156 / 084 338 7518

Nomagugu Sibindi
Senior Underwriter

011 778 9149 / 073 294 9129

Welcome Mashego
Junior Underwriter

011 778 9148 / 081 289 2490

For general queries, please contact us at


Contact your Broker

Don’t have a broker? We’ll gladly refer you to one.