Trigger an event on block?

Hello, is it possible to trigger event’s based on block and not overlap?

I need to know when characters come into contact with one another, I tried using the On Component Hit event but it seems that characters bumping into each other doesn’t constitute a “hit”.

Also, can someone explain to me why my characters don’t overlap? My characters are Pawns and I have “Overlap” selected with other pawns, yet they refuse to do so. Any help would be appreciated, thanks.