The economic consequences of the earthquake on August 10 do not end with the destroyed or damaged homes. For hundreds of families, the emergency also meant injuries that may prevent one of their members from continuing to work, the loss of a loved one, or unexpected expenses that will undoubtedly compromise their finances amid the difficulties inherent to the tragedy.
In the face of these situations, there are mechanisms within the severance and pension system that can become support for those affected. These are not aids created by the emergency, but rather resources and coverages to which workers, affiliates, and their families may be entitled and which, given the magnitude of the tragedy, take on special importance.
One of these is severance pay. Asofondos ―the guild representing Porvenir, Protección, Colfondos, and Skandia― reminded that these resources belong to each worker and can be withdrawn fully or partially for certain authorized uses, such as home improvement or repair.
The possibility is relevant after the tragedy experienced. According to the report from the National Unit for Disaster Risk Management (UNGRD), in the affected regions there are 134,342 damaged homes, 29,554 destroyed, and 267 collapsed buildings, while the number of deaths rose to 294, the injured exceeded 3,900, and the affected families were around 55,000.
In the case of severance pay, the most recent report from the Financial Superintendence shows the scale of this labor savings. At the close of June 2026, private funds (AFP) gathered about 11.7 million affiliates and the accumulated resources amounted to 34.5 trillion pesos.
This is an important savings pool of workers that, under the conditions provided by regulation, can become a source of liquidity to meet specific needs.
“We want to tell our affiliates who have been affected that their severance pay is there and that they can go to their fund to access their savings for that purpose,” said Andrés Velasco, president of the guild.
How to access?
The procedure begins with a written request to the employer to obtain authorization for the withdrawal. The worker must also gather their identity document, the certificate of freedom and tradition of the property, and the documents that prove the intended use of the resources, such as a civil work contract or the quotes and budgets for materials and work to be done.
With those supports and the employer’s authorization letter, the request is submitted to the corresponding severance fund. According to Asofondos, once approved, the disbursement is made within a few days.
But the available mechanisms go beyond repairing a house. The Colombian pension system also protects against contingencies that can occur at any time in life.
Indeed, on the pension side, the figures are even greater. As of last June, the AFPs had around 19.4 million affiliates, while the reserve funds of the Average Premium Regime registered about 7.2 million. Only the former managed around 482.5 trillion pesos. Of those resources, 58.6 trillion pesos corresponded to the Minimum Pension Guarantee Fund, according to the Financial Superintendence.
Marcelo Duque, director of Cómo me Pensiono, explains that the pension should not be understood only as an income associated with old age. “The pension system not only covers the risk of old age, it also protects against situations that can arise at any stage of life, such as loss of work capacity or the death of an affiliate.”
Disability
According to experts, a person who has suffered injuries as a result of the earthquake and presents permanent impairments that compromise their ability to work can start the process of qualification for loss of work capacity.
For disability to be established, that loss must be equal to or greater than 50 percent. However, that percentage is not the only requirement to obtain a pension, as the contribution conditions established by law must also be met.
As a general rule, when the disability originates from an accident, the affiliate must prove 50 weeks contributed in the three years prior to the event that caused the disability. There are particular situations that must be evaluated individually, and the procedure must be carried out before the corresponding AFP.
A fundamental difference compared to old-age pension is that for this recognition it is not required to have reached a certain age. What determines access is the loss of work capacity and compliance with the conditions provided to obtain the benefit.
Death of the affiliate
There are also economic protection mechanisms for the beneficiaries of people who have died. The benefit will depend on the situation in which the victim was.
If they were already retired, their beneficiaries can request pension substitution. If it was a person affiliated who had not yet retired, a survivor’s pension may be generated. As a general rule, for the latter, it is required that the affiliate had contributed at least 50 weeks during the three years prior to death.
Among those who can be beneficiaries are the spouse or permanent partner; children under 18 years old; children up to 25 years old who study and depend economically on the deceased, and children with disabilities. In the absence of these beneficiaries, the legislation contemplates, under certain conditions, parents who depended on the affiliate and siblings with disabilities.
Duque warns about another element that families should not overlook: although the right to the pension does not prescribe, delaying the claim can affect the retroactive payments that are ultimately recognized.
“Starting the claim in a timely manner allows families to begin receiving an income that can be fundamental for their stability,” says the expert, who recalls that the legislation establishes limits on the retroactive payments that can be recognized depending on each case.
Funeral assistance
Funeral assistance is another established coverage. In case of death of an affiliate or pensioner, the person who assumed the funeral expenses can request this recognition before the AFP.
According to Asofondos, its amount is determined based on the last income on which the deceased contributed or on their last pension payment, depending on the case, and ranges between five and ten current legal monthly minimum wages.
To claim it, the request must be submitted to the deceased’s AFP along with the corresponding form, the death certificate, the detailed invoice of funeral expenses, the identity document of the claimant, the bank certification, and, when applicable, the authorization of the heirs.
These protections are complemented by mechanisms provided through ADRES for victims of catastrophic natural events, which include compensation for permanent disability, as well as for death and funeral expenses.
For those who need to turn to private funds, Asofondos indicated that they are working on additional measures to facilitate access to these mechanisms and speed up procedures, none of which require intermediaries or payments to third parties.
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