- Monday, 06 April 2015
5.1 EIS Benefits
Claims under EIS will normally arise from causes directly related to the job injuries sustained from accidents or diseases contracted from the job, etc.
- 5.1.1 Temporary Disablement Benefit
If an employee is unable to work for 14 days or more due to an injury sustained from a job-related accident, they are entitled to a cash benefit called TDB. To receive a TDB an employer must submit the following:
- Formal transmittal letter
- A completed NASSCORP Accident Report Form (Form-B26)
- Medical Report
- Two passport-size color photos of the injured employee.
- Two eye witnesses' statements in case of industrial accident.
- Police report in case of motor accident
- Social Security Benefits Claim Form (Form-C1)
- 5.1.2 Permanent Disablement Benefit (PDB)
PDB is a cash benefit paid to an insured person whose injury or affection from occupational disease results in the loss of earning capacity.
In order to qualify for PDB an employee must submit himself/herself to a NASSCORP Medical Board Examination to determine the loss of earning capacity as a result of the injury. The board determines whether the loss of earning capacity and duration of the disabilities is assessed to be provisionally or permanent.
For example, if it is determined that the employee loss of capacity is 100%, his/her rate of benefit shall be 100% of 65% of his/her average monthly earnings.
- 5.1.3 Constant Attendance Allowance (CAA)
CAA is a cash benefit paid to a person recommended to NASSCORP by a beneficiary who is permanently and totally disabled to serve as his/her personal attendant. The cash benefit paid to the personal attendant is 25% of the beneficiary's entitlement.
- 5.1.4 Death Benefit (DB)
In order to receive DB, the employer must submit the following to NASSCORP:
- Formal transmittal letter from employer/claimant.
- Certification of marriage (traditional or civil law).
- Certification of death of the deceased insured person.
- One group color photo of dependents.
- Police report in case of motor accident.
- Two eye witnesses' statements in case of industrial accident
- NASSCORP Accident Report Form (Form-B26)
- Social Security Benefit Claim Form (Form-C1)
- 5.1.5 Funeral Grant (FG)
Funeral Grant is a fixed cash benefit paid in lumpsum to a person who proves to the satisfaction of NASSCORP that he/she has incurred expenses in connection with the deceased insured person's funeral.
- 5.1.6 Medical Benefit (MB)
In order to receive MB in cash or kind from NASSCORP as a result of job-related injuries or occupational disease, employer must submit the following documents:
- Original medical expense receipt(s)
- Medical Report
An injured person who condition required medical treatment and attendance must seek medical treatment only at accredited medical institutions.
NOTE: For any medical expenses incurred by employer for first aid treatment of the injured employees, the employer may apply to NASSCORP for reimbursement. Also, NASSCORP provides wheelchairs, eye glasses, etc., as medical benefits based on the nature of injury sustained.
SPECIAL NOTE: All employers in the various regions must timely submit all of the abovementioned requirements to the appropriate Regional Offices for speedy claim processing.
5.2 NPS Benefits
Registered insured persons who have retired from work, persons who are incapable of work as a result of illness or disablement and survivors of deceased insured persons are to claim benefit under the NPS.
- 5.2.1 How does employee qualify for Retirement Pension?
Answer: To qualify for Retirement Pension, your employee must satisfy three conditions:
- Age Condition: Your employee must have reached age 60 and retired from work; or your employee must reach 65 if he/she is working.
- Contribution Payment Condition: You must have paid minimum of 100 monthly contributions.
- Retirement Condition: Your employee must have given up or retired from work.
Failure to satisfy one of the three conditions makes your employee not qualify for Retirement Pension.
- 5.2.2 How does my employee claim Retirement Pension?
Answer: Three months before reaching their 60th birthday, NASSCORP will inform your employee that he/she is about to reach pension age. Your employee may also inform NASSCORP directly of his/her decision to be pensioned. If your employee chooses to be pensioned, you as the employer must pension him/her and submit his/her name to NASSCORP. In order to begin the pension processing, NASSCORP will need you to submit the following documents:
- Transmittal letter from employer
- Two passport sized color photos of the employee
- Social Security Benefit Form (Form-C1)
- 5.2.3 What percentage of my employees' income will they receive as retirement pension?
Answer: The percentage of your employees' in come they will receive as retirement pension depends on the number of monthly contributions that were made on their behalf to the National pension Scheme. For every 100 monthly contributions you employees will receive 25% of their salary. For every 10 monthly contributions that were made on behalf of your employees in addition to the 100 monthly contributions, they will receive a 1% increase. The increases however, will not exceed 40%. See the example below:
# of Contributions Paid Monthly Salary Pension Rate (%) Monthly Retirement Benefit 100 $ 750.00 25% $ 187.50 110 $ 825.00 26% $ 214.50 120 $ 900.00 27% $ 243.00 130 $ 925.00 28% $ 259.00 140 $ 1000.00 29% $ 290.00 150 $ 1,500.00 30% $ 450.00
- 5.2.4 How can survivors qualify for Survivor's Pension?
Answer: In order for survivors to qualify for Survivor's Pension, a worker must first pay a minimum of 50 monthly contributions to the National Pension Scheme. Before the employee dies, he/she must have paid a minimum of 50 monthly contributions. Following his/her death, the employees' dependents will be qualified for Survivor's Pension.
- 5.2.5 What is the rate of Survivor's Pension Benefit?
Answer: Widows and widowers are entitled to Survivor's PEnsion beneit rate of 50% of the retirement pension benefit the insured would have received if he/she were alive. Each child however is entitled to receive a child benefit rate of up to 10% for up to five children (10% x 5 children = 50%). This brings the total survivor's benefit to 100%.
- 5.2.6 How is the Survivor's Benefit claimed?
Answer: To claim a Survivor's Benefit, the survivor and the employer must submit the following to the appropriate NASSCORP regional office:
- Formal transmittal letter from the employer/claimant
- Group color photo of widow/widower and child/children
- Social Security Benefit Form (Form-C1)
- Certificate of death
- Certificate of Marriage (Traditional or Civil law)
- 5.2.7 What is Survivors' Pension
Answer: Survivor's Pension is a benefit paid to dependents, (widow/widower) and (child/children) of an insured person who is deceased.
- 5.2.8 What is the rate of Survivors' Pension?
Answer: The established rate of the Survivors' Pension is 50% of the deceased person's monthly pay for the widow/widower, and each child up to five (5) children will receive 10%.
- 5.2.9 What happens to Survivors of an insured employee who did not pay 50 monthly contributions before his/her death?
Answer: If your employee paid less than 50 monthly contributions but they paid 12 or more monthly contributions, the survivors of the deceased employee will receive what is called a "Survivor's Grant". (All the 3% contributions deduction from the earnings of the deceased employee including interest).
- 5.2.10 How long will survivors receive survivor's pension?
Answer: Your employees' widow will receive the pension for life or until remarriage, and the children will receive benefits until they attain age 21 years old. A child who is permanently disabled and cannot work will receive benefit for life.
- 5.2.11 What is Invalidity Pension?
Answer: "Invalidity" in this case refers to one's permanent inability to work due to disability or contraction of a disease. In these situations where the employee is rendered permanently incapable of working despite the fact that he/she has not reached retirement, they will qualify for invalidity Pension. (early retirement)
- 5.2.12 What specific conditions qualify your employee for Invalidity Pension?
Answer: To qualify for Invalidity Pension, your employee must satisfy two conditions:
- Medical Condition: The employee has to sit for the NASSCORP Medical Board of Examination to determine that he/she is permanently disabled and totally incapable of work.
- Contribution Condition: The employee must have paid atleast 50 monthly contributions during the last 60 months prior to the date he/she stopped work or he/she must have paid contributions for atleast 2/3 of all possible months from the date they joined the scheme.
- 5.2.13 How does a worker apply for Invalidity Pension?
Answer: To apply for invalidity pension, your employee or their former employer will need to write a formal transmittal letter to the appropriate regional office informing NASSCORP that he/she has been declared invalid or permanently unable to work by a medical report from licensed Doctor. The worker must submit the letter, a copy of the medical report declaring them invalid and two color passport-sized photos to the regional office.
NASSCORP's regional office staff will then issue the worker a claim form called Form-C1 which he/she must fill out and have you the employer sign it. This form must then be returned to the regional office. The NASSCORP Claims and Benefits Department will then cite your employee to a Medical Board Examination and they will facilitate final processing and payment of the claim. The minimum rate of invalidity Pension is always 25% of an employee's avarage monthly earnings for life.
- 5.2.14 What happens to a Persons' Invalidity Pension if they did not pay 50 monthly contributions?
Answer: If a worker did not pay at least 50% monthly contributions, but they paid at least 12 or more monthly contributions, he/she will receive what is called an Invalidity Grant.