The Universal Guaranteed Pension (PGU) is essential support for older adults in Chile, designed to improve their income during retirement. This benefit, managed by the Social Security Institute (IPS), provides $214,296 per month to those who have pensions equal to or less than $729,764, and a decreasing amount for those who receive between $729,765 and $1,158,355. However, it is important to know the reasons that could lead to the suspension of this contribution, since its continuity depends on meeting certain requirements and conditions.
One of the main causes for suspension of the PGU is the non-collection of the benefit for six consecutive months. If the older adult does not withdraw his pension in that period, the IPS can suspend the payment. In this case, the beneficiaries have a period of six months to request reactivation. If they do not do so, the right to the benefit is permanently lost, which means that they will no longer be able to receive the pension.
Another common reason is the failure to deliver documents required by the IPS. Sometimes, the institute requests background information to verify that the beneficiary continues to meet the necessary requirements. If this documentation is not delivered within three months following the request, the PGU It may be suspended until the situation is regularized.
The PGU It can also be permanently extinguished in specific cases. For example, the death of the beneficiary implies that the benefit is automatically canceled at the end of the month in which the death occurred. Likewise, if the beneficiary resides outside of Chile for more than 180 days in a calendar year, continuously or discontinuously, he or she will lose the right to the contribution, unless he or she has resided in the country for at least 270 days in the previous year.
Another serious reason for suspension or cancellation is the provision of false or incomplete information to obtain or maintain the PGU. The IPS carries out periodic reviews to ensure that beneficiaries comply with the conditions established by law. If irregularities are detected, the benefit may be permanently cancelled.
Finally, it is essential that beneficiaries keep their socioeconomic situation updated in the Social Household Registry (RSH). The PGU It is intended for those who belong to the most vulnerable 90% of the population. If a change in the beneficiary’s income or financial situation causes him or her to no longer meet this criterion, he or she will automatically lose the right to receive the pension.
