First law: 1922.
Current laws: 1995, 1996, 1998, and 2001.
Type of program: Notional defined contribution (NDC) social insurance and mandatory individual accounts system.
Note: Membership of an individual account is mandatory for individuals who were under age 30 in 2001 and voluntary for those who were between ages 30 and 49 in 2001.
Old-age and survivor pensions: Employed persons, self-employed persons, active military personnel, individuals caring for children less than 18 months old, unemployed persons, diplomatic staff spouses, and sickness and maternity benefit recipients.
Voluntary coverage is possible.
Disability pension: Employed and self-employed persons.
NDC: Included in the employer contribution.
Individual account: 2% of earnings, rising gradually to 10% by 2010.
NDC: 18% of payroll, decreasing gradually to 10% by 2010 (includes the employee contribution).
Individual account: None.
Government: Contributes for active military personnel, individuals caring for children less than 18 months old, and spouses of diplomatic staff.
Old-age pension: Age 62 (men) or age 59.5 (women) with 10 years of insurance. The age requirement for women will increase by 6 months each year to age 62 by 2009.
Early pension: Age 60 (men) or age 57.5 (women) with 30 years of insurance. Employment must cease.
Disability pension: Three years of insurance.
Survivor pension: The deceased was insured or was a pensioner at the time of death.
NDC: The amount of the insured's contributions plus annual capital growth adjusted according to changes in the earnings index divided by the average remaining life expectancy.
The minimum pension is equal to the state social security benefit of 35 lats. The minimum pension is increased by 1.1% for an insurance period of at least 20 years; by 1.3% for an insurance period of 20 to 30 years; and by 1.5% for an insurance period of more than 30 years.
Early pension: Equal to 80% of the old-age pension until the insured reaches the statutory retirement age; thereafter, the full amount is paid.
Individual account: The pension is based on the amount of the insured's contributions plus annual capital growth. At retirement, the insured can purchase an annuity or have the funds transferred to his or her NDC account.
Disability pension: The disability pension is paid according to three categories of disability.
Category I: 0.45 times the average wage in 3 consecutive years in the last 5 years, plus the average wage times the ratio of actual contribution years to total possible number of years between age 15 and retirement.
The minimum pension is 1.6 times the minimum state social security benefit.
Category II: 0.4 times the average wage in 3 consecutive years in the last 5 years, plus the average wage times the ratio of actual contribution years to total possible number of years between age 15 and retirement.
The minimum pension is 1.4 times the minimum state social security benefit.
Category III: The minimum state social security benefit (35 lats).
Survivor pension: 50% of the insured's potential old-age pension for one survivor; 75% for two; 90% for three or more. The pension is payable to children and dependent brothers, sisters, and grandchildren. The full-orphan's pension is based on the potential old-age pensions of both parents.
The minimum survivor pension is equal to the state social security benefit.
Ministry of Welfare handles general supervision.
State Social Insurance Agency and its local offices grant and pay cash benefits.
First law: 1924.
Current law: 1995.
Type of program: Social insurance system.
Sickness and maternity benefits: Employed and self-employed persons.
Medical benefits: All permanent residents.
Insured person and employer: 2.37% of payroll.
Government: Finances minimum health care services.
Cash and medical benefits: There is no minimum qualifying period.
Sickness benefit: 80% of average earnings. The benefit is payable from the 15th day of incapacity for work until recovery or, if declared permanently disabled, up to 52 weeks from day of incapacity for work or 78 weeks within a
The employer pays for the 2nd to the 14th day of incapacity.
Maternity benefit: 100% of average earnings. The benefit is payable for 112 calendar days (56 days before and 56 days after the expected date of childbirth); payable for 14 additional calendar days for complications during pregnancy, delivery, or postnatal period as well as for multiple births and in cases in which medical care associated with pregnancy has been started at a medical institution and continued before the 12th week of pregnancy.
Benefits are provided by state-owned and private hospitals under contract with a sickness fund. Benefits include general and specialist care, medicines, hospitalization, maternity care, and dental treatment.
Free treatment for maternity care, for persons with low income, for persons suffering from certain infectious diseases, and for emergency treatment.
Special provisions for victims of the Chernobyl catastrophe.
Cost sharing: Copayments are required for inpatient and dental care; free dental care for children under age 18.
Insured in their own right.
Ministry of Welfare handles general supervision.
State Social Insurance Agency and its local offices grant and pay cash benefits.
State Health Insurance Agency manages medical benefits.
First law: 1927.
Current laws: 1995 and 1998.
Type of program: Social insurance system.
Employed persons.
Insured person: None.
Employer: 0.09% of payroll.
Government: Finances state-guaranteed health care services.
Work injury benefits: There is no minimum qualifying period.
80% of average earnings. The benefit is payable from the 15th day of incapacity for work until recovery or, if declared permanently disabled, up to 52 weeks from day of incapacity for work or 78 weeks within a
The employer pays for the 2nd to the 14th day of incapacity.
A percentage of the insured's average monthly earnings depending on the loss of earning capacity: 80% for a 100% loss of earning capacity, 75% for a loss of 90% to 99%, and 70% for a loss of 80% to 89%. The benefit decreases by 5% for each successive reduced degree of disability, down to a minimum of 25% for a loss of 10% to 14%.
Same as for sickness benefit, plus reimbursement for additional expenses for medical treatment, nursing care, prosthesis, travel expenses, and occupational rehabilitation.
Survivor pension: 25% of the insured's average monthly earnings for one survivor, up to 35% for two, up to 45% for three, and up to 55% for four or more.
A higher percentage is paid for orphans.
Eligible survivors: Children and dependent brothers, sisters, grandchildren, surviving spouse, parents, and grandparents.
Ministry of Welfare handles general supervision.
State Social Insurance Agency and local insurance offices grant and pay insurance-based and related benefits.
First law: 1991.
Current law: 1999.
Type of program: Social insurance system.
Employed and self-employed persons, active military personnel, and individuals taking care of children under age 18 months.
Insured person and employer: 1.89% of payroll.
Government: Contributes for active military personnel and for individuals taking care of children under age 18 months.
Unemployment benefit: Registration at a state employment office, total insurance contributions for not less than 1 year, and 9 months of insurance contributions in the 12 months before unemployment.
The benefit is based on the length of insurance contributions and the length of unemployment: 50% of earnings is paid with 1 to 9 years of insurance, 55% with 10 to 19 years, 60% with 20 to 29 years, 65% with over 30 years. The full amount is paid for the first 3 months, 75% for 3 to 6 months, and 60% for 6 to 9 months.
Ministry of Welfare handles general supervision.
State Social Insurance Agency and local insurance offices grant and pay benefits.
State Employment Service and local employment offices handle placement, training, and retraining.
First law: 1990.
Current laws: 1995 and 1998.
Type of program: Universal system.
Permanent residents with a child of prescribed age.
Insured person: None.
Employer: None.
Government: Total cost.
Family allowances: Child under age 15; age 20 if at secondary school.
Family allowances: 20% of the monthly minimum state social security benefit for the first child, 1.2 times the amount awarded for the first child for the second, 1.6 times for the third, and 1.8 times for the fourth and subsequent children.
The minimum state social security benefit is 35 lats.
Ministry of Welfare handles general supervision.
State Social Insurance Agency and local insurance offices grant and pay benefits.
