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The Ministry of Labour and Social Affairs in Germany is currently conducting an investigation into the high proportion of pensions being paid to individuals over the age of 100 abroad. The findings, which compare death data from 21 countries, reveal some interesting insights.
Currently, over 1.7 million pensions are transferred from Germany to abroad, and the proportion of these pensions going to people over 100 years old is higher than in some other countries. For instance, in the USA, 824 pensions are paid to individuals over 100, which equates to 0.086% of the total. In comparison, Germany's proportion stands at 0.086%, while Canada follows with 464 transfers to individuals over 100, representing a proportion almost three times higher than in Germany. Italy also has 420 transfers of pensions to individuals over 100.
However, the situation in these countries is not unique. The proportion of pensions paid to people over 100 abroad is 0.25 percent, which is significantly higher than the global average. This phenomenon, referred to as the "Methuselah phenomenon," does not appear to be due to a higher attraction of particularly fit and healthy seniors moving abroad more often.
In response to an AfD inquiry about the suspicion that some elderly pension recipients abroad may already be deceased, the Ministry of Labour and Social Affairs has denied any fraud in the payment of pensions to those over 100 years old abroad. Nevertheless, the question remains whether the current controls are comprehensive enough to prevent payments to those who have already passed away abroad.
To address this issue, the Ministry requires annual life certificates from pension recipients abroad. If no proof is sent, the pension is stopped. Since 2020 to 2024, almost 40,000 pension payments abroad were stopped due to lack of proof.
To further improve the process, these life certificates will be digital and sent via video once a year, starting from 2024. This change aims to ensure the accuracy and timeliness of the information, thereby reducing the occurrence of the Methuselah phenomenon.
The cause of the higher proportion of elderly pension recipients abroad is not yet determined, but it is believed to be primarily caused by outdated records and administrative delays, where pension payments continue to be made to deceased individuals because their deaths have not been promptly or properly reported.
