Eliminating errors is a key issue for trustees, scheme members and administrators alike.
Errors can emerge for a number of reasons, but the key to mitigation is a robust control environment and procedural controls that ensure peer review of all calculation routines, as well as the processes being followed and the scheme documentation used.
Identifying errors before they reach the member presents a great learning opportunity as well as a robust control point. We believe that monitoring and measuring errors is the sign of a good-quality administrator – showing concern to ensure the quality of the administration service is high and that members receive the right benefit at the right time.
Our consultation on error management aimed to understand the appetite for adopting a common definition of errors. We received a marked difference in responses from in-house administration operations and third-party administrators.
Following the consultation, PASA’s principles for adoption will be published in late 2015.