I'd be grateful for some advice on this issue as I'm more accustomed to giving advice to people over pension age.

My client is 51 and was separated but not divorced from her husband when he died last October.

She only has basic rate ESA (despite having DLA middle rate care comp so I think that the SDP should be paid also) and full Housing and Council Tax Benefits.

She has been told that she cannot get a funeral grant because she was not living with her husband at the time of his death yet she was the responsible person and arranged the funeral so is now being pursued by the Funeral Director for payment.

Am I right in thinking that she should be eligible for the Bereavement Payment of £2000 and can also claim Bereavement Allowance?

If so, as the Bereavement Allowance is more than her ESA, if the ESA is contributory I understand that the overlapping benefit rule would apply, so if her entitlement remains at the lower level without any SDP she would lose the ESA and any additional income gained would be counted against her H/CTB - is this correct?

If the SDP should be in payment and this situation is corrected then the overall entitlement to Income Related benefits will exceed the Bereavement Allowance and so she still won't be any better off.

So, my question is this - is there anything to be gained by her pursuing a claim for the Bereavement Allowance? If not and she decides not to make a claim would she still be able to claim the Bereavement Payment or is it a situation of claim one claim all?

Re: Funeral Expenses.CPAG Handbook page 524 is clear on this. It is all about acceptance of responsibilty and who signed a contract with the funeral director.It must also be reasonable for the person to accept responsibilty. The handbook quotes a case of an estranged son/father. Son accepted responsibilty for fathers funeral despite 24 year estrangement. However it was found this did not erase the previous 30 years of contact they had.

A few points on Bereavment Allowance and Payment.
A berevement payment is a one off payment paid IN ADDITION to bereavement allowance, so I guess it is a case of claim one claim then all. Page 22 CPAG.

She can claim because as a legally married person who is separated she is defined as a widow. Page30 refers.

Like you I usually deal with older clients. So not sure about your other questions. But will get back if I have time to look at it again.

Hang on a mo.

The overlapping rules in their full glory only apply to income replacement benefits, so would only apply to bereavement allowance and the contributory version of ESA. If that is what she is claiming it does not have premiums so she would have to claim the income-related version to get her SDP (which she should be getting).

If she is getting the income related version then they need to be asked to revise it. Bereavement allowance would be treated as income for the purpose of the means-tested benefit.

You say she is only gettting the "basic amount" of ESA which I assume means she is still in the assessment phase and hasn't yet got any of the additional components (work-related/support).

"So, my question is this - is there anything to be gained by her pursuing a claim for the Bereavement Allowance? "

it's generally best to encourage clients to always establish any entitlement they have to a pension or other contributory benefit they qualify for as a right, even when it will be less than their means-tested benefit rate. they can be 'topped up', and contributory benefit rules are less stringent that means-tested benefits, should a c/circs arise eg they come in to some capital, or move abroad, or a partner starts work (not in the case of widows though!)

also, they are then not at risk of withdrawal of means -tested benefit on notional income grounds for failing to avail themselves of said income...theoretically, such a failure could be picked up at any time there is a case check of some sort, although granted, that gets less likely as the department de-skills itself...

Thanks for all your comments - very helpful and confirmed what I was thinking so will advise my client accordingly.