Samoa

Old Age, Disability, and Survivors

Regulatory Framework

First and current law: 1972 (national provident fund).

Type of program: Provident fund and universal (old age) system.

Coverage

Provident fund: Employed persons, including household workers.

Voluntary coverage for self-employed and unemployed persons.

Senior citizens benefit scheme: Citizens residing in Samoa.

Source of Funds

Insured person

Provident fund: 5% of gross monthly earnings. Additional voluntary contributions are permitted.

Senior citizens benefit scheme: None.

Self-employed person

Provident fund: 100 to 2,000 tala a month.

Senior citizens benefit scheme: None.

Employer

Provident fund: 5% of monthly payroll.

Senior citizens benefit scheme: None.

Government

Provident fund: None; contributes as an employer.

Senior citizens benefit scheme: The total cost.

Qualifying Conditions

Provident fund

Old-age pension: Age 55 and retired from covered employment; age 50 if unemployed for at least five years; at any age if emigrating permanently, medically incapacitated, or entering theological seminary or the clergy. If covered employment continues after age 55, the fund member must continue to make contributions to the fund. If new employment begins after funds are withdrawn at age 55, the fund member must contribute for 12 months before withdrawing funds again.

Partial withdrawal: Younger than age 55.

Loan scheme: Must have a minimum balance of 500 tala.

Disability pension: Must be assessed with a total incapacity for work in covered employment.

A general medical practitioner assesses the disability.

Survivor pension: The deceased was a registered fund member.

Death benefit: Paid when a registered fund member with at least 24 months of contributions dies.

Eligible survivors include persons named by the deceased, or if there are no named survivors, the spouse, children, or other dependents.

Senior citizens benefit scheme: Age 65 with at least 90 days of continuous residence immediately before the date of application.

Old-Age Benefits

Old-age pension (provident fund): The fund member has three different options: a biweekly pension of total employee and employer contributions plus accrued interest; a biweekly pension of 75% of total employee and employer contributions plus accrued interest, with the remaining 25% paid as lump sum; or a lump sum of total employee and employer contributions plus accrued interest taken at age 55. The minimum interest rate is 4% a year.

Benefit adjustment: The old-age pension is adjusted every three years according to an actuarial review.

Partial withdrawal: Up to 20% of the total employee and employer contributions may be withdrawn for necessary medical expenses. Partial withdrawal of an unspecified amount is also possible for temporary employment abroad that is expected to last at least three years. 

Loan scheme: Up to 60% of the total employee and employer contributions may be taken out and repaid at an annual interest rate of 9.5% to 10%.

Senior citizens benefit scheme: 135 tala a month is paid. (Senior citizens also receive free health care in public hospitals and free inter-island travel on public seagoing vessels.)

Benefit adjustment: The government periodically reviews the senior citizen benefit.

Permanent Disability Benefits

Disability pension (provident fund): The fund member has three different options: a biweekly pension of total employee and employer contributions plus accrued interest; a biweekly pension of 75% of total employee and employer contributions plus interest, with the remaining 25% paid as a lump sum; or a lump sum of total employee and employer contributions plus accrued interest taken at age 55.

Benefit adjustment: The disability pension is adjusted every three years according to an actuarial review.

Survivor Benefits

Survivor pension (provident fund): The total employee and employer contributions plus accrued interest is split among named survivors according to proportions stated by the deceased. If the deceased was receiving a biweekly pension, 50% of the deceased's pension is paid for up to 10 years.

Benefit adjustment: The survivor pension is adjusted every three years according to an actuarial review.

Death benefit (provident fund): A lump sum of 5,000 tala is paid.

Benefit adjustment: The death benefit is adjusted according to the financial health of the fund.

Administrative Organization

Samoa National Provident Fund (http://www.npf.ws), managed by a tripartite board, administers the provident fund and the senior citizens benefit scheme.

Sickness and Maternity

Regulatory Framework

First and current law: 2013 (labor code).

Type of program: Employer-liability (cash benefits only) system.

Note: Additional cash benefits for temporary and permanent disability are provided for nonwork-related injuries under Work Injury. Some medical services are provided free of charge to the population through government health centers. Other hospital and medical services are provided under the senior citizen benefit scheme and the work injury program.

Coverage

Employed persons.

Exclusions: Self-employed persons.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: The total cost; provides benefits directly to employees.

Government: None.

Qualifying Conditions

Cash sickness benefits (employer liability): Full-time employees must have been continuously employed with the same employer for at least 12 months. (The qualifying conditions for part-time employees are applied on a pro-rata basis.) A medical certificate is required for an illness that lasts for at least three days.

Cash maternity benefits (employer liability): Full-time employees must have been continuously employed with the same employer for at least 12 months. (The qualifying conditions for part-time employees are applied on a pro-rata basis.) The employee must notify the employer in writing of the expected dates of departure and return from maternity leave.

Cash paternity benefits (employer liability): Full-time employees must have been continuously employed with the same employer for at least 12 months. (The qualifying conditions for part-time employees are applied on a pro-rata basis.) The employee must notify the employer in writing of the expected date of childbirth and present a written request from the employee's wife or partner.

Sickness and Maternity Benefits

Cash sickness benefits (employer liability): 100% of the insured's normal earnings is paid for up to 10 days a year.

Cash maternity benefits (employer liability): The insured has two options: 100% of the insured's normal earnings paid for four weeks plus two weeks of unpaid leave; or 66.67% of earnings paid for six weeks.

Cash paternity benefits (employer liability): 100% of the insured's normal earnings is paid for five days.

Workers' Medical Benefits

Medical benefits: Some medical services are provided free of charge to the population through government health centers.

Other hospital and medical services are provided under the senior citizen benefit scheme and the work injury program.

Dependents' Medical Benefits

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

Administrative Organization

Ministry of Commerce, Industry, and Labour (http://www.mcil.gov.ws) administers the program.

Work Injury

Regulatory Framework

First law: 1960.

Current laws: 1978 and 1989 (accident compensation).

Type of program: Employer-liability system through a private carrier.

Coverage

Employed persons.

Exclusions: Self-employed persons.

The total population is covered under a separate scheme for nonwork-related injuries, including injuries resulting from an accident involving a motor vehicle or a boat traveling within Samoa.

Source of Funds

Insured person: None for work-related injuries; 1% of earnings for nonwork-related injuries.

Self-employed person: Not applicable.

Employer: 1% of payroll for work-related injuries.

Government: None; an earmarked tax of 0.05 tala per gallon of motor fuel finances benefits for victims of motor vehicle and boat accidents.

Qualifying Conditions

Work injury benefits: There is no minimum qualifying period.

Temporary Disability Benefits

70% of the insured's earnings is paid after a five-day waiting period for up to five years (may be extended). The benefit is paid for a temporary disability resulting from a work-related or a nonwork-related injury (including motor vehicle and boat accidents).

The maximum weekly benefit is 1,000 tala.

Permanent Disability Benefits

Permanent disability benefit: If the assessed degree of disability is at least 80%, the weekly benefit is 70% of the insured's last earnings multiplied by the assessed degree of disability, up to 1,000 tala. The benefit is paid until rehabilitation or death.

A mobility allowance and a living allowance, both equal to 60% of the minimum wage, are paid.

Partial disability: If the assessed degree of disability is less than 80% and the injured person returns to work before the period of entitlement to temporary disability benefits ceases, a lump sum is paid according to the assessed degree of disability, up to 8,000 tala.

Workers' Medical Benefits

Benefits include reasonable medical expenses; 150,000 tala is provided for artificial limbs or aids and for treatment abroad.

Survivor Benefits

Survivor grant: A lump sum of 20,000 tala, plus up to 1,000 tala a week for up to five years, is paid to dependents.

Funeral grant: 4,000 tala is paid for a death caused by a work-related accident (or motor vehicle or boat accidents).

Administrative Organization

Labour Department of the Ministry of Commerce, Industry, and Labour (http://www.mcil.gov.ws) provides general supervision.

Accident Compensation Corporation (http://www.acc.gov.ws) administers the program.