New EPFO rule: Faster death claim settlements, less paperwork; here's what you need to know

The Employees' Provident Fund Organisation (EPFO) on Wednesday (August 13, 2025) said that it has further simplified the death claim settlement process for the families of deceased members. According to a new circular by EPFO, Guardianship Certificates will no longer be necessary when settlement funds are deposited directly into the bank accounts of the deceased member's minor children.

In several previous instances, families faced delays because a Guardianship Certificate was required before processing the settlement of PF, pension, or insurance benefits. Obtaining this certificate from a court often takes months, creating financial stress for bereaved families.

Also read: What is form 10D in EPF account: How to apply for monthly pension using form 10D online, who can claim


"In this regard, with a view to simplify the process and also to ensure speedy settlement to the minor children, it is hereby directed that no separate Guardianship Certificate be insisted if the settlements are being credited to the bank accounts of the minor children," EPFO stated in the circular.

The new directive from EPFO seeks to expedite settlements and ensure that minor children receive their entitled benefits without facing unnecessary legal hurdles.

Separate bank account for each child

Accordingly, claimants should be advised to open individual bank accounts in the name of each minor child to receive PF, and insurance proceeds, EPFO further stated.

EPF Form 20: Eligibility and who can apply for PF settlement after a member's death

EPF Form 20 is used by the nominee, legal heir, or guardian of a deceased EPF member to claim the member's provident fund accumulation. This form is specifically for the final settlement of the deceased member's PF account.

According to the EPFO website:
" If the member is a minor, by his guardian, OR
" On the death of the member:
a) If a valid nomination subsists: by the nominee(s) of the deceased member if the nominee(s) is/are minor(s) guardian of the minor(s)
b) If no nomination subsists: by the 'family' member(s) of the deceased member duly supported by a list of surviving family members (as on the date of death of the member) furnished by the last employer or mamlatdar/Tehsildar or executive magistrate indicating complete particulars such as name, relationship with the deceased member, age, marital status in the case of parents, whether dependent or not. If any family member is a minor, by the guardian of the minor.
If both (a) and (b) above are not applicable: by legal heir(s) of the deceased member duly supported by a legal heir ship certificate."