Israel

Old Age, Disability, and Survivors

Regulatory Framework

First and current laws: 1953 (national insurance), implemented in 1954; 1955 (survivor pensions); 1957 (old-age pensions); 1974 (disability pensions); 1980 (income support); 1982 (income support benefits); and 1988 (long-term care benefits).

Type of program: Social insurance and social assistance system.

Coverage

Social insurance: Residents of Israel.

Exclusions: Persons who immigrated to Israel for the first time after age 60 to 62 (depending on date of birth).

Social assistance (income support programs, means tested): Residents of Israel.

Source of Funds

Insured person: 0.22% of earnings up to and 3.85% of earnings above 60% of the national average wage (old-age and survivor pensions); 0.11% of earnings up to and 1.86% of earnings above 60% of the national average wage (disability benefits); and 0.01% of earnings up to and 0.14% of earnings above 60% of the national average wage (long-term care).

The national average wage is 8,619 new shekels a month.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Self-employed person: 3.09% of earnings up to and 5.21% of earnings above 60% of the national average wage (old-age and survivor pensions); 1.11% of earnings up to and 1.86% of earnings above 60% of the national average wage (disability benefits); and 0.12% of earnings up to and 0.18% of earnings above 60% of the national average wage (long-term care).

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are 25% of the national average wage.

Employer: 1.30% of earnings up to and 2.04% of earnings above 60% of the national average wage (old-age and survivor pensions); 0.26% of earnings up to and 0.42% of earnings above 60% of the national average wage (disability benefits); and 0.04% of earnings up to and 0.09% of earnings above 60% of the national average wage (long-term care).

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

Government: Through a contribution of 0.25% of insured persons' earnings (old-age and survivor pensions), 0.10% of insured persons' earnings (disability benefits), and 0.02% of insured and self-employed persons' earnings (long-term care), the government subsidizes the following: 17.1% of total insured person and employer contributions; the total cost of special old-age and survivor benefits and long-term care benefits for new immigrants; and the total cost of social assistance income support programs and the mobility allowance.

Qualifying Conditions

Old-age pension

Social insurance: Age 70 (men) and age 68 (women, gradually rising to age 70 from 2017 to 2020) without an earnings test; age 67 (men) and age 62 (women, gradually rising to age 64 from 2017 to 2022) for the earnings-tested pension.

The pension is gradually reduced by 0.60 of a new shekel for every new shekel of income that exceeds 57% (individuals) or 76% (with dependents, according to the number of dependents) of the national average wage.

The national average wage is 9,089 new shekels a month.

Must have at least 60 months of coverage in the last 10 years or a total of 144 months of coverage. No qualifying period for insured women who are widowed, divorced, abandoned, married to an uninsured husband, unmarried and aged 57 or older at the time of immigration, or receiving a disability pension during the month before reaching the retirement age.

Income supplement: Paid if income, including the old-age pension, is less than the minimum income established by law.

Pension deferral increment: Paid to persons older than the retirement age who did not meet the earnings test for a pension.

Dependent's supplement (earnings tested): Paid for a dependent spouse or child. A housewife or widow who receives a pension is ineligible.

Seniority increment: Paid for more than 10 years of coverage. A housewife or widow who receives a pension is ineligible.

Special old-age benefit (social assistance): Paid to new immigrants not insured because of their age at the time of immigration.

Income support benefit (social assistance): Must have at least 24 months of continuous residence (12 cumulative months for new immigrants), subject to a means and employment test; total income from any source must be lower than an amount established by law.

Benefits are payable abroad under bilateral agreement.

Disability pension: Aged 18 to the retirement age for the earnings-tested old-age pension. There is no qualifying period. Must have either a total assessed degree of disability of at least 60% (from one or more impairments), a total assessed degree of disability of at least 40% (one impairment must be assessed as at least 25%), or a total assessed degree of disability of at least 50% (for a housewife with a disability).

Must not be able to support him or herself from employment, have at least a 50% assessed loss of earning capacity, and have no or limited income from employment.

The full pension is paid if assessed with a degree of disability greater than 74% and if income from employment is less than the monthly national average wage.

The national average wage is 9,089 new shekels a month.

Partial disability: Paid for an assessed disability of up to 74%.

Incentive pension: The insured's income from employment must exceed the amount specified by law. The amount depends on the severity of the medical impairment and the period of entitlement to a disability pension. Must have received a disability pension for at least 12 consecutive months before his or her income exceeded the amount.

Additional monthly pension (AMP): Must have at least a 50% assessed degree of disability and at least a 75% assessed loss of earning capacity. Must not reside in an institution where a public body pays over 50% of expenses.

Graduated AMP: Paid to recipients of the AMP whose income from employment exceeds the threshold for the normal disability pension.

Dependent's supplement: Paid for a spouse or a child with earnings below 57% of the national average wage. (A housewife with a disability is entitled to a supplement for her child only.)

Income supplement: Paid if income, including the disability pension, is less than the minimum income established by law.

Attendance allowance: Paid if the insured requires the constant attendance of others to perform daily functions. Must be assessed with at least a 60% disability and receiving a disability pension (or assessed with a disability of at least 75% and subject to an earnings test).

Special benefit: Paid to a person assessed as disabled who receives the attendance allowance.

Mobility allowance: Aged 3 to 67 with an assessed loss of mobility of at least 40% (with a valid driver's license) or 60% (without a valid driver's license if there is an authorized driver). A medical committee assesses the degree of disability.

Maintenance allowance (means tested): Paid to female residents, with a ‘judgment for maintenance' (awarded when the husband fails to pay child maintenance), and who are caring for at least one child, is aged 60 or older, or is unable to maintain themselves. Paid to a child possessing a ‘judgment for maintenance' and not in the custody of his mother or of the state or of a local authority.

Disabled child benefit: Paid for a child with a disability, younger than age 18, not living in an institution or with a foster family, and not receiving a mobility allowance (unless the child's parent has two children, both with a disability, and under certain other circumstances).

Long-term care benefit (earnings tested): Must have at least the retirement age for an earnings-tested old-age pension, not living in an institution, and requiring the constant attendance of others to perform daily functions. The benefit is paid to an individual with income less than 1.5 times the national average wage, to a couple with income less than 2.25 times the national average wage, or to a person with a child with additional income less than 0.75 times the national average wage for each child.

The national average wage is 9,089 new shekels a month.

Benefits are payable abroad under bilateral agreement.

Survivor pension (social insurance): Paid to a widow(er) or child up to age 18 (age 20 if in higher education or the premilitary framework, age 21 if in military or volunteer service, up to age 24 in certain other cases) of an insured person who died from any cause, except war or hostile action. The deceased had 12 months of coverage in the year before death, 24 months in the last five years, 60 months in the last 10 years, or met the qualifying period for an old-age pension. The widow(er)'s pension ceases on remarriage, except for certain cases.

A widow must have been married to (or been the common-law spouse of) the deceased for at least one year (six months if aged 55 or older) at the time of his death or had a child with the deceased.

A widower must have been married to (or been the common-law spouse of) the deceased for at least one year (six months if aged 55 or older) at the time of her death and must either have a child living with him or meet an earnings test.

Seniority increment: Paid if the insured had more than 10 years of coverage.

Spouse's grant: Paid to a widow(er) younger than age 40 without dependent children or to a widower no longer eligible for a survivor pension.

Special survivor benefit: Paid to the widow and orphans of a person who resided in Israel but did not meet the age requirements to be insured at the time of immigration.

Marriage grant: Paid to a widow(er) on remarriage.

Bar Mitzvah grant: Paid to orphans at age 13 (boys) and age 12 (girls).

Death grant: Paid to the widow(er) or children of a deceased pensioner.

Funeral grant: Paid to the organization responsible for the funeral.

Survivor pension with income supplement (social assistance): Paid to an individual who has a combined income from employment and a survivor pension less than an amount established by law.

Benefits are payable abroad under bilateral agreement.

Old-Age Benefits

Old-age pension

Social insurance: 17.7% of the monthly old-age basic amount is paid. An additional 1% is paid to pensioners aged 80 and older.

The monthly old-age basic amount is 8,648 new shekels.

Income supplement: 30.3% to 65.2% of the monthly old-age basic amount, depending on marital status and the number of children, is paid to pensioners younger than age 70; 31.2% to 66.5% if aged 70 to 79; and 32.6% to 68.5% if aged 80 or older. The resulting amounts are increased by an additional 7% for all age groups.

Pension deferral increment: The pension is increased by 5% for each year retirement is deferred.

Dependent's supplement: 8.9% of the monthly old-age basic amount is paid for the spouse and 5.6% of the monthly old-age basic amount for each of the first two children up to age 18 (age 20 if in higher education or the premilitary framework, age 21 if in military or volunteer service, age 24 in certain other cases).

The monthly old-age basic amount is 8,848 new shekels.

Seniority increment: The pension is increased by 2% for each year of coverage exceeding 10 years, up to 50% of the pension.

Special old-age benefit (social assistance): The benefits are the same as the social insurance old-age pension.

Income support benefit (social assistance): 20% to 25% of the monthly old-age basic amount is paid to an individual pensioner; 27.5% to 37.5% to a couple without children. The benefit amount varies with age. Widows, separated persons, and single parents receive a higher benefit.

The monthly old-age basic amount is 8,370 new shekels.

Benefit adjustment: Benefits are adjusted annually in January according to the increase in the consumer price index in the previous year.

Permanent Disability Benefits

Disability pension (social insurance): 25% of the disability basic amount plus an additional 7% of the resulting amount is paid.

The disability basic amount is 8,957 new shekels a month.

Partial disability: A percentage of the full disability pension is paid according to the assessed degree of disability.

Incentive pension: Up to a full disability pension is paid according to the insured's income.

For a partial disability, a pension is paid according to the insured's earning capacity or a schedule in law (whichever is lower).

Additional monthly pension (AMP): 17% of the disability pension is paid if the assessed degree of disability is at least 80%; 14% for an assessed degree of 70% to 79%; 11.5% for an assessed degree of 50% to 69%.

Graduated AMP: The full AMP amount is paid in the first year, 75% in the second year, 50% in the third year, 25% in the fourth year, and none in the fifth year.

Dependent's supplement (income tested): Up to 12.5% of the disability basic amount is paid for a spouse; 10% for each of the first two children. An additional 7% is paid for both categories.

Income supplement: Paid if income, including the disability pension, is less than an amount established by law.

Attendance allowance: 50%, 105%, or 175% of the full disability pension is paid, according to the assessed degree of dependence.

Special benefit: 14%, 28.5%, or 42.5% of the full disability pension is paid, according to the assessed degree of dependence.

Mobility allowance: The monthly benefit varies depending on whether the insured has earned income, has a driver's license, and owns a car. Additional cash benefits may be provided to help cover car taxes and costs resulting from a loss in mobility.

Maintenance allowance (means tested): 20% to 52.5% of 8,648 new shekels a month is paid, according to the number of children and age; 10% to 37.5% is paid to children who receive the benefit directly.

Disabled child benefit: 50% to 128% of the full disability pension is paid, according to the assessed degree of disability. An increment of 50% of the benefit is paid for each child, with two or more disabled children in the family.

Disabled child benefit supplements: The cost of schooling for students with disabilities and an additional benefit for children with severe disabilities is paid.

The maximum total benefit is 140% of the full disability pension.

Long-term care benefit (earnings tested): 91% of the full disability pension is paid if the beneficiary is largely dependent on the help of others; 150% if severely dependent; 168% if completely dependent. Benefits are normally paid directly to the organization providing the long-term care services. (If long-term care services are not available and the beneficiary lives with and is cared for by a family member, the benefit is paid directly to the caregiver. If he or she employs a full-time caregiver, the benefit rate is of 80%.)

The benefit is reduced by 50% if the insured's income is higher than the national average wage for a single person; by 50% if income is higher than 1.5 times the national average wage for a couple, plus 0.5 times the national average wage for each child, up to a maximum.

The national average wage is 9,089 new shekels a month.

Benefit adjustment: Benefits are adjusted annually in January according to the increase in the consumer price index in the previous year.

Survivor Benefits

Survivor pension (social insurance): 17.7% of the monthly old-age basic amount is paid to a widow(er) aged 50 or older or caring for a child; 13.3% to a widow(er) aged 40 to 49 with no children.

The monthly old-age basic amount is 8,648 new shekels.

Child increment: 8.3% of the monthly old-age basic amount is paid for each child.

11% of the basic old-age amount is paid for a single child not covered by the survivor pension child increment; 8.3% each if there is more than one child; 11% for each full orphan.

If the survivor also receives the old-age pension, the survivor pension is reduced by 50%.

Seniority increment: The pension is increased by 2% for each year the deceased had more than 10 years of coverage, up to 50% of the survivor pension.

Spouse's grant: A lump sum of 36 months of the survivor pension is paid to a widow(er) younger than age 40 with no children.

Special survivor benefit: The benefits are the same as for the social insurance survivor pension.

Marriage grant: 36 months of the survivor pension is paid in two equal parts (the first upon marriage, the second two years later).

Bar Mitzvah grant: 33% of the disability basic amount is paid.

The disability basic amount is 8,957 new shekels.

Death grant: A lump sum of the disability basic amount is paid to the widow(er) or children of a deceased pensioner.

The disability basic amount is 8,957 new shekels.

Funeral grant: The cost of the burial is paid, up to a fixed amount.

Survivor pension with income supplement (social assistance): 30.3% to 60% of the monthly old-age basic amount minus 140 new shekels is paid to a widow(er) depending on his or her age and the number of children. The resulting amounts are increased by an additional 7%.

25% of the monthly old-age basic amount minus 140 new shekels is paid for a single child (orphans and abandoned children); 37.5% minus 280 new shekels for two children.

Seniority increment: The pension is increased by 2% for each year the deceased had more than 10 years of coverage, up to 50% of the survivor pension.

Benefit adjustment: Benefits are adjusted annually in January according to the increase in the consumer price index in the previous year.

Administrative Organization

Ministry of Social Affairs (http://www.molsa.gov.il) provides general supervision.

National Insurance Institute (http://www.btl.gov.il) administers the program, collects contributions, and pays benefits through its branch offices.

Sickness and Maternity

Regulatory Framework

First and current laws: 1953 (national insurance), implemented in 1954; 1976 (vacation pay for adoptive parents); 1986 (birth allowance); 1990 (at-risk pregnancy benefit); 1997 (paternity allowance); and 1995 (national health insurance).

Type of program: Social insurance system.

Coverage

Sickness benefits: All employees are covered under collective agreements. (Cash sickness benefits are not provided under the 1953 law.)

Maternity benefits: Employed persons, self-employed persons, and persons in vocational training.

Maternity grant: Insured women or the wife of the insured; persons working in but not residing in Israel, including self-employed persons.

Medical benefits: All persons residing in Israel.

Source of Funds

Insured person: 3.1% of earnings up to and 5% of earnings above 60% of the national average wage (medical benefits); 0.04% of earnings up to and 0.87% of earnings above 60% of the national average wage (maternity benefits).

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Self-employed person: 3.1% of earnings up to and 5% of earnings above 60% of the national average wage (medical benefits); 0.56% of earnings up to and 0.82% of earnings above 60% of the national average wage (maternity benefits).

The national average wage is 8,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are 25% of the national average wage.

Employer: None (medical benefits); 0.11% of earnings up to and 0.40% of earnings above 60% of the national average wage (maternity benefits).

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Government: None (medical benefits); 0.09% of earnings (maternity benefits). Subsidizes the birth allowance and the hospitalization grant.

Qualifying Conditions

Cash sickness benefits: Sickness benefits are not provided under the 1953 law.

Cash maternity and paternity benefits: The full benefit is paid with at least 10 months of coverage in the last 14 months (or 15 months in the last 22 months). A partial benefit is paid with at least six months of coverage in the last 14 months.

Under certain conditions a father with at least 10 months of coverage in the last 14 months (or 15 months in the last 22 months) may share the benefit with the mother.

Adoption and foster benefit: Paid for the cessation of work to adopt (or foster for at least half a year) a child younger than age 10. For a child up to age 3, at least one of the adoptive or foster parents must have at least 10 months of coverage in the last 14 months (or 15 months in the last 22 months). The benefit may be paid to the father for at least 21 days when the mother returns to work. For a child older than age 3, at least one of the adoptive or foster parents must have at least 10 months of coverage in the last 14 months (or 15 months in the last 22 months). A partial benefit is paid with at least six months of coverage in the last 14 months.

Risk pregnancy benefit: Paid for the cessation of work due to a risk to the pregnancy. Must be authorized by an obstetrician, have at least 10 months of coverage in the last 14 months (or 15 months in the last 22 months) and must not receive a similar payment from any other source.

Maternity grant: Paid for the purchase of a layette for a newborn child. If not residing in Israel, the woman or her husband must have worked in Israel for at least six months immediately before childbirth. The birth must occur in Israel.

Adoption grant: Paid for the adoption of a child younger than age 10.

Hospitalization grant: Paid for necessary hospitalization for a birth.

Multiple birth allowance: Paid for the birth of three or more children, if at least three survive past 30 days. The mother must be entitled to the maternity grant.

Hospital transportation costs: Provided for women who travel by ambulance to a hospital and give birth within three days of arriving at the hospital nearest to the woman's residence.

Special allowance and special benefit: Paid for a mother who was insured for the maternity grant and who died while giving birth or within a year of giving birth, and if the spouse stops working to care for the child(ren).

Benefits are payable abroad under bilateral agreement.

Sickness and Maternity Benefits

Sickness benefit: Benefits are provided to employees under collective agreements; 75% to 100% of earnings are paid for at least 90 days.

Maternity allowance: 100% of the insured's average daily net income in the three months preceding the day on which the insured woman stopped work is paid for up to 14 weeks; seven weeks for a partial benefit. (May be extended if the mother or child is hospitalized during the maternity leave.)

Adoption and foster benefit: For a child up to age 3, 100% of the insured's average daily net income in the three months preceding the day on which the insured woman ceased working because of the pregnancy (or the day of the adoption) is paid for up to 14 weeks; seven weeks for a partial benefit. For a child over age 3, 100% of the insured's average daily net income in the three months preceding the adoption day is paid for up to four weeks.

Risk pregnancy benefit: For each day the mother is not working because of a risk to the pregnancy, the benefit is the disability basic amount divided by 30 or the insured woman's income in the three months preceding the day she stopped working divided by 90, whichever is lower.

Maternity and adoption grants: 1,751 new shekels is paid for the first child, 788 new shekels for the second child, and 525 new shekels for the third and each subsequent child (higher for multiple births).

Hospitalization grant: 12,397 new shekels is paid directly to the hospital for hospitalization expenses for each woman giving birth.

Multiple birth allowance: A percentage of the disability basic amount is paid for 20 months.

The disability basic amount is 8,957 new shekels a month.

Hospital transportation costs: A fixed amount is paid for the cost of transportation to the hospital.

Special allowance: For 24 months after the birth of a child, 30% of the national average wage is paid to the child's father or guardian for each child born; 12 months if the spouse is also receiving survivor or dependent benefits.

The national average wage is 9,089 new shekels a month.

Special benefit: A benefit equal to the injury allowance (See Work Injury) is paid for up to 12 weeks.

Workers' Medical Benefits

Doctors provide services in hospitals owned and operated by, or under contract with, a sickness fund. Benefits include general and specialist care, medicine, laboratory services, hospitalization, and rehabilitation.

Cost sharing: Patients pay a set amount toward the cost of drugs and appliances, which varies according to the sickness fund.

Dependents' Medical Benefits

Medical benefits for dependents are the same as those for the insured.

Administrative Organization

Ministry of Social Affairs (http://www.molsa.gov.il) provides general supervision.

National Insurance Institute (http://www.btl.gov.il) administers the program, collects contributions, and pays benefits through its branch offices.

Sickness insurance and medical care are administered by four funds under the supervision of the Ministry of Health (http://www.health.gov.il), Leumit (National) Sickness Fund (http://www.leumit.co.il), Clalit (General) Sickness Fund (http://www.clalit.org.il), Maccabi Healthcare Services (http://www.maccabi-health.co.il), and Meuhedet (United) Sickness Fund (http://www.meuhedet.co.il).

Work Injury

Regulatory Framework

First and current laws: 1953 (national insurance), implemented in 1954 and 1956 (self-employed persons), implemented in 1957.

Type of program: Social insurance system.

Coverage

Employed persons, self-employed persons, vocational trainees and those undergoing vocational rehabilitation, working prisoners, foreign residents working in Israel, migrant workers working in Israel, and some Israelis working abroad.

Exclusions: Police, prison service, and defense force employees.

Source of Funds

Insured person: None.

Self-employed person: 0.37% of earnings up to and 0.68% of earnings above 60% of the national average wage.

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are 25% of the national average wage

Employer: 0.37% of earnings up to and 1.47% of earnings above 60% of the national average wage.

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Government: 0.03% of insured and self-employed persons' earnings.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Qualifying Conditions

Work injury benefits

Temporary disability benefit (injury allowance): Paid for a temporary work incapacity and absence from work as the result of a work injury or occupational disease. There is no minimum qualifying period.

Temporary disability pension: Paid to a worker assessed with a temporary degree of disability of at least 9%. There is no minimum qualifying period.

Permanent disability pension: Paid to a worker assessed with a permanent degree of disability of at least 20%. There is no minimum qualifying period.

Disability grant: Paid to a worker assessed with a permanent degree of disability of at least 9% but less than 20%. There is no minimum qualifying period.

Special pension and special grant: Paid for an assessed degree of disability of at least 75%; 65% to 74% for persons with difficulty walking.

Income supplement: Paid if income, including the disability pension, is less than the minimum income established by law.

Dependents' pension: Paid to a widow aged 40 or older; at any age with a dependent child or if unable to support herself. Paid to a widower with a dependent child, without children if aged 40 or older and unable to support himself or with an income below 4,569 new shekels a month. The pension ceases on remarriage.

Income supplement: Paid if income, including the disability pension, is less than the minimum income established by law.

Dependents' grant: Paid to a widow or a widower not entitled to a survivor pension.

Marriage grant: Paid to a widow(er) on remarriage.

Bar-mitzvah grant: Paid to orphans at age 13 (boys) and age 12 (girls).

Death grant (work injury-related death): Paid to the deceased's spouse and children if the deceased received a disability pension for an assessed degree of disability of at least 50%, had reached retirement age for the earnings-tested old-age pension, or received a dependent's allowance.

Death grant (nonwork injury-related death): Paid to the deceased's spouse and children if the deceased had an assessed degree of disability of at least 50% for at least 36 months before death and received a work injury disability pension throughout this period. The deceased's spouse's average income must not be higher than twice the national average wage in the year preceding the death.

The national average wage is 9,089 new shekels a month.

Funeral grant: Paid for the insured's funeral.

Temporary Disability Benefits

Temporary disability benefit (injury allowance): The daily benefit is 75% of covered earnings in the three months before the work injury occurred or the occupational disease began divided by 90.

The benefit is paid after a two-day waiting period (waived if the incapacity for work lasts at least 12 days) for up to 13 weeks. The National Insurance Institute pays the benefit and is reimbursed by the employer for the first 12 days. Self-employed persons are ineligible for the benefit for the first 12 days of incapacity.

The maximum benefit is the basic amount multiplied by five and divided by 30.

The basic amount is 8,957 new shekels.

Temporary disability pension: A percentage of the insured's monthly wage is paid according to the assessed degree of medical disability.

Permanent Disability Benefits

Permanent disability pension: For a total (100%) disability, the monthly pension is 75% of the insured's earnings.

Partial disability: A percentage of the full pension is paid according to the insured's earnings and assessed degree of disability.

Income support: An income supplement is paid.

Disability grant: A lump sum of 43 months of the disability pension is paid.

Special pension: Financial aid for personal expenses and transportation, up to a maximum.

Special grant: Aid in purchasing a car (under special conditions), in solving housing problems and acquiring assistive devices.

Benefit adjustment: Benefits are adjusted annually in January according to the increase in the consumer price index in the previous year.

Workers' Medical Benefits

Doctors provide services in hospitals owned and operated by, or under contract with, a sickness fund. Benefits include general and specialist care, medicine, laboratory services, hospitalization, and rehabilitation.

Cost sharing: Patients pay a set amount toward the cost of drugs and appliances, which varies according to the sickness fund.

Survivor Benefits

Survivor pension (Dependents' pension): 40% to 100% of the old-age or disability pension the deceased received or was entitled to receive if assessed with a total disability is paid, depending on the number of children and the age of the widow(er); 20% for the first orphan and 10% each for the second and third. If there is no widow(er) entitled to the survivor pension, 60% is paid to the first orphan and 10% each for the third and fourth. If there is no eligible widow(er) or orphan, 50% is paid to one dependent, up to 100% for four or more dependents.

Dependents' grant: A lump sum of 36 months of the survivor pension is paid.

Income support: Low-income recipients of dependents' pensions may receive an income supplement.

Marriage grant: 36 months of the pension is paid in two equal parts (the first on marriage, the second two years later).

Bar Mitzvah grant: 33% of the disability basic amount is paid.

The disability basic amount is 8,957 new shekels.

Death grant (work injury-related): A lump sum of the disability basic amount is paid.

The disability basic amount is 8,957 new shekels.

Death grant (nonwork injury-related): 60% of the old-age or disability pension the deceased received or was entitled to receive if assessed with a total disability multiplied by 36 is paid in two equal parts.

Funeral grant: The cost of the funeral is paid, up to a maximum, to the organization responsible for the funeral.

Administrative Organization

Ministry of Social Affairs (http://www.molsa.gov.il) provides general supervision.

National Insurance Institute (http://www.btl.gov.il) administers the program, collects contributions, and pays benefits through its branch offices.

Unemployment

Regulatory Framework

First and current laws: 1970 (unemployment insurance) and 1973 (payment of benefits).

Type of program: Social insurance system.

Coverage

Employed permanent and temporary residents of Israel, including certain military personnel.

Exclusions: Self-employed persons.

Source of Funds

Insured person: 0.01% of earnings up to and 0.21% of earnings above 60% of the national average wage.

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are equal to the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Self-employed person: Not applicable.

Employer: 0.03% of earnings up to and 12% of earnings above 60% of the national average wage.

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are equal to the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Government: 0.06% of insured persons' earnings.

The minimum monthly earnings used to calculate contributions are equal to the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Qualifying Conditions

Unemployment benefits: Must be involuntarily unemployed, registered at the labor exchange, and ready and able to perform any suitable work.

Must have paid contributions for at least 12 work months in the 18 months before unemployment.

Unemployment Benefits

A daily benefit of 20% to 80% of the insured's daily wage in the six months before unemployment is paid.

The maximum daily benefit is 363.56 new shekels for the first five months and 242.37 new shekels from the sixth month onward. The benefit is paid after a five-day waiting period (the waiting period is applied each time the insured receives unemployment benefits for four consecutive months).

The benefit is paid for up to 50 to 175 days, depending on age and number of dependents.

Administrative Organization

Ministry of Social Affairs (http://www.molsa.gov.il) provides general supervision.

National Insurance Institute (http://www.btl.gov.il) administers the program, collects contributions, and pays benefits through its branch offices.

Family Allowances

Regulatory Framework

First law: 1959.

Current laws: 1975 (children's insurance), 1984 (income test), and 1993 (universal).

Type of program: Universal system.

Coverage

Residents of Israel with one or more children.

Source of Funds

Insured person: None.

Self-employed person: 1.32% of earnings up to and 2.4% of earnings above 60% of the national average wage.

The national average wage is 9,089 new shekels a month.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 2,272 new shekels.

Employer: 1.32% of earnings up to and 2.08% of earnings above 60% of the national average wage.

The national average wage is 8,619 new shekels a month.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,100 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,370 new shekels a month.

Government: 0.8% of insured persons' earnings and 208% of the total amount from contributions; funds the study grant and payments to new immigrant children.

The minimum monthly earnings used to calculate contributions are the monthly minimum wage.

The monthly minimum wage is 4,300 new shekels.

The maximum monthly earnings used to calculate contributions are five times the old-age basic amount as of January 1 each year.

The old-age basic amount is 8,648 new shekels a month.

Qualifying Conditions

Family allowances: The child must be younger than age 18, unmarried, and residing in Israel.

Family allowance increment: Paid to families with at least three children and receiving certain other National Insurance benefits.

Study grant: Paid for a child aged 6 to 14 residing in Israel. Paid to a single-parent family; a parent with four or more children and receiving certain other National Insurance benefits; an orphan or abandoned child; a child who immigrated to Israel without an insured parent; some women residing in battered women's shelters; and a person who receives his or her own income support benefit.

Family Allowance Benefits

Family allowances: For children born before June 1, 2003: 140 new shekels a month is paid for the first child and the second child, 172 new shekels for the third, 336 new shekels for the fourth, and 354 new shekels for the fifth and each subsequent child.

For children born on or after June 1, 2003: 140 new shekels a month is paid for each child.

Family allowance increment: 70% of the family allowance basic amount is paid for each of the third and fourth children.

The family allowance basic amount is 140 shekels.

Study grant: At the beginning of the school year 18% of the old-age basic amount is paid for each child aged 6 to 11; 10% for each child aged 12 to 14.

The old-age basic amount is 8,648 new shekels a month.

Benefit adjustment: Benefits are adjusted annually in January according to the increase in the consumer price index in the previous year.

Administrative Organization

Ministry of Social Affairs (http://www.molsa.gov.il) provides general supervision.

National Insurance Institute (http://www.btl.gov.il) administers the program, collects contributions, and pays benefits through its branch offices.