Slovenia

Old Age, Disability, and Survivors

Regulatory Framework

First law: 1922.

Current laws: 1999, with 2000, 2001, 2002, and 2003 amendments.

Type of program: Social insurance system.

Coverage

Employed persons in industry, commerce, and agriculture; public-sector employees; members of handicraft and fishery cooperatives; and self-employed workers including craftsmen, liberal professions, artists, and farmers.

Source of Funds

Insured person: The contribution rate varies. The average contribution rate is 15.5% of earnings.

Employer: The contribution rate varies. The average contribution rate is 8.85% of payroll.

Government: Covers the cost for veterans and certain groups of insured (policemen, ex-active army officers) and makes up the deficit in the event of an unforeseen decline in contributions.

Qualifying Conditions

Old-age pension

Men: Age 58 with 40 years of contributions; age 63 with 20 years of contributions; or age 65 with 15 years of contributions.

Women: Age 54 and 8 months with 35 years and 9 months of contributions (in 2005, age 55 with 36 years of contributions); age 59 and 8 months with 20 years of contributions (in 2005, age 60 with 20 years of contributions); or age 61 and 8 months with 15 years of contributions (in 2005, age 62 with 15 years of contributions).

For both men and women, retirement from insured employment is necessary.

Payment abroad is permitted under reciprocal agreement.

The full pensionable age for both men and women will increase gradually to age 63 (men) and age 61 (women), with the contribution period increasing to 40 years and 38 years, respectively.

Early pension: An early pension is possible.

Deferred pension: A deferred pension is possible.

Disability pension: Loss of working capacity (total disability) or greatly reduced capacity for regular or equivalent work (partial disability). A coverage period of at least 1/3 of the years after age 20 (1/4 if younger than age 30; 1/4 after age 21 and younger than age 30; insured or 3 months of insurance before age 20).

Survivor pension: The deceased had completed a 5-year insurance period, had 5 years of pension contributions, or was receiving or had fulfilled the conditions for an old-age pension or disability pension.

Old-Age Benefits

A minimum of 35% (men) or 38% (women) of average earnings during the 14 highest paid consecutive years (15 in 2005) of the insured period since 1970 (pension rating base). Past earnings are revalued for changes in average wages and pensions. An increment of 1.5% of earnings is awarded for each year of insurance from 2000. An additional increment of 2% is awarded for each year before 2000 if the total number of years of insurance coverage exceeds 15, with the exception of women, who are awarded 3% for each year before 2000 if coverage exceeds 20.

The pension rating base is the insured's monthly average earnings/income on which contributions were paid during the 14 highest paid consecutive years of the insured period since 1970.

Partial pension: A reduced pension is paid with less than 40 years (men) or 38 years (women) of service.

Early pension: A reduced pension is paid if retirement is prior to the full pensionable age.

Deferred pension: An increased pension is paid if retirement is after the full pensionable age.

The maximum pension varies according to the length of the qualifying period but is no more than four times the minimum pension.

Benefit adjustment: Benefits are adjusted on an ad hoc basis twice a year according to the growth of average salaries and pensions in a prescribed period.

Permanent Disability Benefits

Disability pension: A minimum of 45% (men) or 48% (women) of average earnings during the 14 highest paid consecutive years (15 in 2005) of the insured period from 1970 (pension rating base) if the onset of disability is before age 63 (men) or age 61 (women); otherwise, 35% (men) or 38% (women) of average earnings during the 14 highest paid consecutive years (15 in 2005) of the insured period from 1970. Past earnings are revalued for changes in average wages and pensions. An increment of 1.5% of earnings is awarded for each year of insurance from 2000. An additional increment of 2% is awarded for each year before 2000 if the total number of years of insurance coverage exceeds 15, with the exception of women, who are awarded 3% for each year before 2000 if coverage exceeds 20.

The pension rating base is the insured's monthly average earnings/income on which contributions were paid during the 14 highest paid consecutive years of the insured period since 1970.

The pension calculation period covers years of insurance coverage and projected years. Projected years are calculated as 2/3 of the period between the onset of disability and age 58 and 1/2 of the period between age 58 and age 63 (men) or age 61 (women).

The maximum pension varies according to the length of the qualifying period but is no more than four times the minimum pension.

Partial disability: The minimum benefit is 35% of the minimum pension rating base. The maximum benefit is 80% of the disability pension.

Benefit adjustment: Disability pensions are adjusted on an ad hoc basis twice a year according to the growth of average salaries and pensions in a prescribed period.

Constant-attendance allowance: Provided where necessary.

Benefit adjustment: The allowance is adjusted twice a year according to growth of average salaries.

Survivor Benefits

Survivor pension: Age 52 and 6 months for a widow (age 53 in 2005) or age 53 for a widower.

The minimum survivor pension is 70% of the pension awarded or accrued to the insured if there is one survivor; a combined total of 80% for two survivors; 90% for three survivors; 100% for four or more survivors.

Eligible survivors: A widow(er); children under age 15 (age 26 if a student); a dependent mother age 52 and 6 months (age 53 in 2005) and a dependent father age 57 and 6 months (age 58 in 2005) or disabled; dependent grandchildren, brothers, and sisters.

Benefit adjustment: Pensions are adjusted on an ad hoc basis twice a year according to the growth of average salaries.

Administrative Organization

Institute for Pension and Invalidity Insurance of Slovenia, including nine regional units, administers the program.

Sickness and Maternity

Regulatory Framework

First laws: 1922 (sickness) and 1949 (maternity).

Current laws: 1992 (sickness), with 2001 amendment; and 2001 (maternity).

Type of program: Social insurance system.

Coverage

Sickness benefits: Employed persons, self-employed persons, and farmers (if insured).

Maternity benefits: Persons insured for parental leave and eligible for maternity benefit (mothers, fathers, and third persons caring for the child during leave from work).

Source of Funds

Insured person

Sickness benefits: 6.36% of gross salary.

Maternity benefits: Employees contribute 0.1% of their gross salary; self-employed persons and farmers (if insured) contribute 0.2% of the insurance base for Old Age, Disability, and Survivors (see above).

Employer

Sickness benefits: 6.36% of gross payroll.

Maternity benefits: 0.1% of gross payroll.

Government

Sickness and maternity; benefits in kind: Contributions are credited on behalf of certain groups of insured. Government pays for the health care of military personnel, refugees, and prisoners. Government also pays for the collection of blood, organs, and tissues for transplantation.

Sickness and maternity; cash benefits: Contributions are credited on behalf of certain groups of insured. Government finances 92% of the cost of maternity benefits from general taxation.

Qualifying Conditions

Sickness benefit: There is no minimum qualifying period.

Maternity benefit: The mother must be covered by parental leave insurance prior to the first day of compulsory maternity leave. The father of the child, the adoptive parent, or any other person who cares for the child must have the right to maternity leave and coverage for parental leave.

Sickness and Maternity Benefits

Sickness benefit: 80% to 100% of average wages in the previous year, depending on the cause of absence. The benefit cannot be lower than the minimum wage. The employer pays the benefit for the first 30 days.

Maternity benefit: 100% of earnings is payable during maternity leave (105 calendar days, 28 of which are taken before the expected date of childbirth) and during child-care leave (260 calendar days), for 365 calendar days in total. The father is entitled to paternity leave to the same extent as the mother for maternity leave, minus the number of days already used by the mother. The minimum duration of paternity leave taken by the father must not be less than 28 days. If the father cares for the child instead of the mother, he can also be entitled to up to 260 days of child-care leave.

Maternity and child-care leave may be prolonged in instances of multiple births, premature births, the birth of a child with physical or mental impairment, or if the parents are already rearing at least two other children under age 8.

Workers' Medical Benefits

Provided through public health facilities on the basis of separate contracts between contractors and the insurance institute. Insured individuals contribute a portion of the cost of fees that vary with the type and complexity of the service provided.

Dependents' Medical Benefits

Provided through public health facilities on the basis of separate contracts between contractors and the insurance institute. Insured individuals contribute toward the cost of fees that vary with the type and complexity of the service provided.

Administrative Organization

Sickness benefit: Institute of Health Insurance of Slovenia, including 10 regional units, administers the program.

Maternity benefit: Sixty-two social work centers administer the program.

Ministry of Labor, Family, and Social Affairs pays benefits.

Work Injury

Regulatory Framework

First law: 1922.

Current laws: 1992, 1993, 1996, 1998, 1999, and 2001 (health insurance), with amendments; and 1999 (pension and invalidity), with 2000, 2001, 2002, and 2003 amendments.

Type of program: Social insurance system.

Coverage

Employees, self-employed persons, farmers, and other persons insured under the pension and disability scheme, including students in secondary and postsecondary education in a work placement program, professional excursions, or paid work; physically and mentally disabled individuals in professional training, work placements, or practical training; unemployed persons performing public work; volunteers; and prisoners.

Source of Funds

Insured person: The contributions for temporary and permanent disability benefits are taken from the insured's combined contribution for Old Age, Disability, and Survivors and Sickness (see above). Self-employed persons and farmers pay 0.53% of the insurance base for Old Age, Disability, and Survivors (if covered) for temporary disability, and the contribution for permanent disability is taken from the insured's combined contribution for Old Age, Disability, and Survivors and Sickness (see above).

Employer: The contribution for temporary disability is 0.53% of payroll. The contribution for permanent disability is taken from the combined contribution for Old Age, Disability, and Survivors and Sickness (see above).

Government: The government makes up any deficit caused by a decline in contribution rates for permanent disability benefits.

Qualifying Conditions

Work injury benefits: There is no minimum qualifying period.

Temporary Disability Benefits

100% of base earnings for a temporary absence from work due to an occupational disease or work injury. The benefit is paid from the first day of incapacity until recovery or certification with a permanent disability.

Base earnings are calculated as the average monthly gross wage received in the calendar year preceding the year in which the temporary disability occurred.

Permanent Disability Benefits

Permanent disability pension: Paid at a minimum of 82.5% of the pension rating base (82% in 2005). The benefit calculation is the same as that made for permanent disability pension under Old Age, Disability, and Survivors, above.

The pension rating base is the insured's monthly average earnings/income on which contributions were paid during the 14 highest paid consecutive years of the insured period since 1970.

The minimum benefit will be reduced by 0.5% of the pension rating base each calendar year until 2025 (men) and 2023 (women).

Benefit adjustment: The allowance is adjusted twice a year according to growth of average salaries.

Survivor Benefits

Survivor pension: 70% of the pension awarded or accrued to the insured is paid for one survivor; a combined total of 80% for two survivors; 90% for three survivors; 100% for four or more survivors.

Eligible survivors: Widow(er); children under age 15 (age 26 if a student); a dependent mother age 52 and 6 months (age 53 in 2005) and a dependent father age 57 and 6 months (age 58 in 2005) or disabled; dependent grandchildren, brothers, and sisters.

Benefit adjustment: Benefits are adjusted on an ad hoc basis twice a year according to the growth of average salaries.

Administrative Organization

Institute for Pension and Invalidity Insurance of Slovenia and Institute of Health Insurance of Slovenia administer the program.

Unemployment

Regulatory Framework

First law: 1927.

Current laws: 1991, 1992, 1993, 1994, 1998, and 2000.

Type of program: Social insurance system.

Coverage

Employed persons in industry, commerce, and agriculture; public employees; and members of handicraft and fishery cooperatives.

Source of Funds

Insured person: 0.14% of gross wage.

Employer: 0.06% of payroll.

Government: The government provides subsidies.

Qualifying Conditions

Unemployment benefit: Employed full-time with the same or different employers during 12 months in the last 18 months prior to becoming involuntarily unemployed and registered with the Employment Service within 30 days of the termination of employment; seasonal workers employed for a definite period must have 12 months of insurance in the last 18 months after the conversion of their working hours into the full-time equivalent. Individuals must be capable of, available for, and actively seeking employment.

Unemployment Benefits

70% of the base for the first 3 months; thereafter, 60%.

The base is calculated as the average monthly earnings in the 12 months prior to the termination of employment.

The duration of benefit is related to the length of the contribution period: 3 months of benefit for an insurance period of 1 to 5 years; 6 months of benefit for 5 to 15 years; 9 months of benefit for 15 to 25 years; 12 months of benefit for 25 years; 18 months of benefit for insured persons over age 50 with an insurance period of more than 25 years; 24 months of benefit for insured persons over age 55 with an insurance period of more than 25 years.

Administrative Organization

Employment Service of Slovenia, including 10 regional units, administers the program.

Family Allowances

Regulatory Framework

First law: 1949.

Current law: 1993.

Type of program: Universal system.

Coverage

Families with children residing permanently in Slovenia.

Source of Funds

Insured person: None.

Employer: None.

Government: Total cost.

Qualifying Conditions

Family allowances: Paid to a parent or a third person if the child is under age 18 (age 26 if a student, in training, or with a serious infirmity), a citizen, or any person entitled under the conditions of international law.

Family Allowance Benefits

Child benefit: The benefit is awarded according to eight income categories ranging from a maximum for those earning 15% or less of the average monthly national wage in the calendar year prior to the application down to a minimum level for those earning between 75% and 99%. Higher rates are awarded for the second and third child; thereafter, the benefit for each subsequent child is paid at the same rate as the third child.

Special child-care allowance: 20,170 tolar (40,330 tolar for a child in need of 24-hour care) is paid monthly. Paid to families with a child up to age 17 (age 26 if a student) with a need for special medical care.

Birth grant (layette): A lump sum of 56,010 tolar for the purchase of clothing and other necessities for a newborn child whose father or mother has permanent residence in Slovenia.

Large family allowance: An annual benefit of 78,420 tolar paid to families with several children.

Parent income supplement: Paid to one parent who has ceased or reduced work to care for a child with a severe physical or mental disability. The monthly benefit is the national minimum wage on which contributions are paid. The benefit is paid until the child is age 18.

Benefit adjustment: Benefits are adjusted periodically according to the growth in prices of basic necessities.

Administrative Organization

Sixty-two social work centers administer the program.

Ministry of Labor, Family, and Social Affairs pays benefits.