The National Pension Commission (PenCom) has directed all licensed Pension Fund Administrators (PFAs) to obtain informed consent from eligible retirees before enrolling them in the Federal Government’s PenCare healthcare initiative.
The directive, contained in a circular published on the commission’s official website, requires PFAs to secure retirees’ approval during the processing of their Programmed Withdrawal retirement benefits.
The circular, titled “Obtaining Retirees’ Consent for Enrolment into the PenCare Initiative During Programmed Withdrawal Retirement Benefit Processing”, took effect from October 27, 2026.
According to PenCom, PFAs are required to obtain the informed consent of eligible retirees who elect Programmed Withdrawal at the point of executing their Programmed Withdrawal Agreement.
The commission explained that the directive was designed to ensure that retirees are adequately informed about the initiative and voluntarily indicate their willingness to participate.
PenCare is a social welfare programme introduced by the Federal Government through PenCom and pension fund operators to provide free basic primary healthcare services to eligible retirees, beginning with those receiving relatively low monthly pension benefits.
Under the eligibility requirements outlined by the commission, beneficiaries must be at least 60 years old, have selected Programmed Withdrawal as their retirement benefit option and receive monthly pension payments ranging from N70,000 to N150,000.
The circular, signed by the Director of PenCom’s Surveillance Department, A. M. Saleem, stated that the initiative was intended to ensure that eligible retirees are given the opportunity to make informed decisions about possible enrolment.
The requirement for consent is particularly important given that the programme targets retirees whose pension income may limit their ability to independently finance basic healthcare services.
By making consent a formal part of retirement benefit processing, PenCom is seeking to strengthen transparency and ensure that participation in the healthcare initiative is based on the retiree’s informed choice.
The development also highlights the growing importance of integrating social protection and healthcare considerations into Nigeria’s pension administration framework.
The effectiveness of PenCare will depend on proper implementation, cooperation among pension operators and healthcare providers, and adequate arrangements to ensure that eligible retirees can access the promised services.
