Moldova

Old Age, Disability, and Survivors

Regulatory Framework

First laws: 1956 (state pensions) and 1964 (pensions and allowances for collective farmers).

Current laws: 1998 (state pensions), 1999 (social insurance), 2000 (social insurance), 2001 (pension calculations), and 2008 (civil servants).

Type of program: Social insurance, social assistance, and universal (death grant) system.

Coverage

Employed citizens, agricultural workers, and certain self-employed persons.

Special systems for civil servants, military personnel, and employees of the Ministry of Internal Affairs.

Source of Funds

Insured person

Social insurance: 6% of monthly earnings.

There are no minimum earnings used to calculate contributions.

The maximum earnings used to calculate contributions are five times the legal national average monthly wage.

The legal national average monthly wage is 4,500 lei.

The insured person's contributions also finance cash sickness and maternity benefits, unemployment benefits, and family allowances.

Social assistance: None.

Self-employed person

Social insurance: An annual flat-rate contribution of 6,372 lei. Agricultural landowners contribute 1,584 lei.

Social assistance: None.

Employer

Social insurance: 23% of payroll (industrial sector); 22% of payroll (agricultural sector).

There are no minimum or maximum earnings used to calculate contributions.

The employer's contributions also finance cash sickness and maternity benefits, work injury benefits, unemployment benefits, family allowances, and the death grant.

Social assistance: None.

Government

Social insurance: None; contributes as an employer.

Social assistance: The total cost.

Qualifying Conditions

Old-age pension (social insurance): Age 62 with at least 32 years and six months of coverage (men, gradually rising to 35 years by 2021) or age 57 with at least 30 years of coverage (women).

Age 54 with at least 32 years and six months (gradually rising to 35 years by 2021) of coverage, including at least 10 years in hazardous or arduous conditions (men), or age 49 with at least 30 years of coverage, including at least seven years and six months in hazardous or arduous conditions (women).

Age 54 with at least 30 years of coverage for women who have given birth to and raised at least five children.

Partial pension: Age 62 (men) or age 57 (women) with at least 15 years of coverage.

Deferred pension: A deferred pension is possible.

Old-age pensions are payable abroad under bilateral agreement.

Old-age social pension (social assistance): Age 62 (men) or age 57 (women) and does not meet the coverage requirements for an old-age pension (social insurance).

The old-age social pension is not payable abroad.

Disability pension (social insurance): Assessed with a Group I (incapacity for any work and requiring constant attendance), Group II (incapacity for any work but not requiring constant attendance), or Group III (incapacity for usual work) disability, and has at least one year of coverage.

The required coverage period varies according to the insured's age when the disability began: at least one year if younger than age 23; two years if aged 23 to 25; three years if aged 26 to 31; or at least five years if older than age 31.

The National Council for Determining Disability and Work Capacity assesses the loss of work capacity.

The disability pension is payable abroad under bilateral agreement.

For a work-related disability, work injury benefits supplement the disability pension provided under Old Age, Disability, and Survivors.

Disability social pension (social assistance): Paid to persons with a disability that began in childhood, children younger than age 18 with a severe, significant, or medium disability, and persons assessed with a Group I, II, or III disability who do not meet the coverage requirements for a disability pension (social insurance).

The disability social pension is not payable abroad.

Caregiver's allowance: Paid to persons caring for a child younger than age 18 with a severe disability, a person with a severe disability that began in childhood, or a blind person with a severe disability.

Survivor pension (social insurance): The deceased received or was entitled to receive an old-age or disability pension (social insurance) at the time of death.

Eligible survivors include a widower aged 57 or older or widow aged 52 or older, married to the deceased for at least 15 years, or caring for a child younger than age 3 and not employed; and orphans younger than age 18 (age 23 if a student, no limit if disabled).

The widow(er)'s pension ceases on remarriage.

The survivor pension is payable abroad under bilateral agreement.

Survivor social pension (social assistance): The deceased did not meet the coverage requirements for an old-age or disability pension (social insurance).

The survivor social pension is not payable abroad.

Death grant (universal): Paid when the insured, one of the insured's dependents, or a noninsured person dies. The benefit is paid to an eligible survivor, a named survivor, or the person who paid for the funeral.

Old-Age Benefits

Old-age pension (social insurance): The pension is based on the number of years of coverage, the effective date of retirement, and average monthly earnings, plus 2% of earnings for each year of coverage exceeding 32 years and six months (men, gradually rising to 35 years by 2021) or 30 years (women).

The maximum earnings used to calculate benefits are five times the legal national average monthly wage.

The legal national average monthly wage is 4,500 lei.

The minimum monthly pension is 861.80 lei; 767.22 lei for agricultural workers.

There is no maximum monthly pension.

Partial pension: The pension is reduced in proportion to the number of years of coverage below 32 years and six months (men, gradually rising to 35 years by 2021) or 30 years (women).

Deferred pension: The pension is increased by 2% of wages for each year of deferral.

Benefit adjustment: Benefits are adjusted in April according to changes in consumer prices and average earnings in the previous year.

Old-age social pension (social assistance): 129.27 lei a month is paid.

Benefit adjustment: Benefits are adjusted in April according to changes in consumer prices in the previous year.

Permanent Disability Benefits

Disability pension (social insurance): The pension is based on average monthly covered earnings, the number of years of coverage, and a coefficient related to the assessed disability.

The coefficient is 0.42 for a Group I disability; 0.35 for Group II; and 0.2 for Group III.

The minimum monthly pension is 613.10 lei for a Group I disability; 592.04 lei for Group II; and 416.89 lei for Group III.

There is no maximum monthly pension.

Benefit adjustment: Benefits are adjusted in April according to changes in consumer prices and average earnings in the previous year.

Disability social pension (social assistance): 490.48 lei a month is paid to a person with a severe disability that began in childhood or who is younger than age 18; 473.63 lei a month for a significant disability; and 333.51 lei a month for a medium disability.

183.93 lei a month is paid if the insured is assessed with a Group I disability and had less than one year of coverage; 177.61 lei a month for Group II; and 125.07 lei a month for Group III.

Caregiver's allowance: 646.35 lei a month is paid.

Benefit adjustment: Benefits are adjusted in April according to changes in consumer prices in the previous year.

Survivor Benefits

Survivor pension (social insurance): 50% of the old-age or disability pension the deceased received or was entitled to receive is paid for one survivor, 75% for two, or 100% for three or more. The pension is split equally among all eligible survivors.

Partial pension: The pension is reduced in proportion to the number of years of coverage below 32 years and six months (men, gradually rising to 35 years) or 30 years (women).

The minimum survivor pension is 50% of the minimum old-age pension.

The minimum monthly old-age pension is 861.80 lei; 767.22 lei for agricultural workers.

There is no maximum survivor pension.

Benefit adjustment: Benefits are adjusted in April according to changes in consumer prices and average earnings in the previous year.

Survivor social pension (social assistance): 258.54 lei is paid for one orphan. The pension is doubled for full orphans.

Death grant (universal): A lump sum of 1,100 lei is paid.

Benefit adjustment: Benefits are adjusted in April according to changes in consumer prices in the previous year.

Administrative Organization

Ministry of Labor, Social Protection, and Family (http://mmpsf.gov.md) is responsible for social security policy.

National Office of Social Insurance (http://www.cnas.md) administers the program through 41 regional offices.

Sickness and Maternity

Regulatory Framework

First law: 1993.

Current laws: 1995 (health); 1999 (social insurance); and 2004 (temporary disability benefits), implemented in 2005.

Type of program: Social insurance (cash benefits) and universal (medical benefits) system.

Coverage

Cash sickness and maternity benefits: Salaried persons; agricultural workers; self-employed persons; elected or appointed officials in government, parliament, and the judicial system; persons with disabilities; and unemployed persons.

Medical benefits: Residents of Moldova.

Source of Funds

Insured person: See source of funds under Old Age, Disability, and Survivors.

Self-employed person: See source of funds under Old Age, Disability, and Survivors.

Employer: See source of funds under Old Age, Disability, and Survivors.

Government: For cash sickness and maternity benefits, see source of funds under Old Age, Disability, and Survivors. The total cost of medical benefits.

Qualifying Conditions

Cash sickness benefits: Must reside in Moldova and have at least nine months of contributions in the last 24 months or a total of three years of contributions before the date of medical leave.

Cash maternity benefits: Paid to an insured woman and the nonworking, dependent wife of an insured man. Must reside in Moldova and have at least nine months of contributions in the last 24 months or a total of three years of contributions before the expected date of childbirth.

Child care allowance (medical leave): Paid to a person caring for a sick child younger than age 10 (younger than age 16 for a child with a short-term incapacity that is not the result of, or related to, an assessed disability).

Medical benefits: There is no minimum qualifying period.

Sickness and Maternity Benefits

Sickness benefit: 60% of the insured's average earnings is paid with less than five years of coverage; 70% with five to eight years; 90% with more than eight years. The benefit is paid after a five-day waiting period for up to 180 days (the employer pays the first five days); may be extended up to 30 days in certain cases.

Average earnings are based on the insured's earnings in the last 12 months before the incapacity began; with less than 12 months of coverage, average earnings are based on a reference wage for each particular job or the legal monthly minimum wage on the day the incapacity began.

The legal monthly minimum wage is 2,100 lei (May 2016).

Sick childcare allowance (medical leave): The allowance is calculated in the same way as the sickness benefit.

Maternity benefit: 100% of the insured's average earnings is paid from the 30th week of pregnancy for 126 days.

For the adoption of a child, the benefit is paid from the day of the adoption up to 56 days after the date of childbirth.

Average earnings are based on the insured's earnings in the last 12 months before the incapacity began; with less than 12 months of coverage, average earnings are based on a reference wage for each particular job or the legal monthly minimum wage on the day the incapacity began.

The legal monthly minimum wage is 2,100 lei (May 2016).

Workers' Medical Benefits

Medical care is provided by the state. Free hospital treatment is provided for a limited number of days for insured persons.

Cost sharing: The insured pays a small percentage of the cost of some medical care.

Dependents' Medical Benefits

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

Administrative Organization

Ministry of Health (http://www.ms.gov.md) provides general supervision of the health care system and makes health care policy.

National Health Insurance Company (http://www.cnam.md) administers the health insurance program.

Work Injury

Regulatory Framework

First law: 1991 (labor protection).

Current laws: 1999 (work injury and occupational diseases insurance), 2001 (work injury allowances), and 2005 (work accident regulations).

Type of program: Social insurance (cash benefits) and universal (medical benefits) system.

Note: Local authorities and employers may provide supplementary pension benefits out of their own budgets.

Coverage

Cash and medical benefits: Employed persons, members of cooperatives, students, and persons undergoing professional training.

Voluntary coverage for self-employed persons.

Source of Funds

Insured person: None.

Self-employed person: See source of funds under Old Age, Disability, and Survivors.

Employer: See source of funds under Old Age, Disability, and Survivors.

Government: None.

Qualifying Conditions

Work injury benefits: The insured must be assessed with a Group I (incapacity for any work and requiring constant attendance), Group II (incapacity for any work but not requiring constant attendance), or Group III disability (incapacity for usual work). The assessed disability must be work related.

The National Council for Determining Disability and Work Capacity assesses the loss of work capacity.

Temporary Disability Benefits

100% of the insured's average monthly earnings in the last six months before the illness or accident occurred is paid after a 20-day waiting period for up to 180 days in a calendar year. (The employer pays the first 20 calendar days.)

Permanent Disability Benefits

Permanent disability pension: The monthly pension is the sum of three components: a basic pension equal to the permanent disability pension paid under Old-Age, Disability, and Survivors, according to the degree of disability; a supplemental benefit of two thirds of the insured's average monthly covered earnings in the last six months before the illness or accident occurred; and a lump sum benefit paid by the employer, according to the degree of disability.

Workers' Medical Benefits

Public health facilities provide medical services directly to patients. Benefits include general and specialist care, maternity care, hospitalization, surgeries listed by the Ministry of Health, laboratory services, functional and vocational rehabilitation, transportation, and basic medicine.

Survivor Benefits

Survivor pension: At least 50% of the permanent disability pension the deceased received or was entitled to receive is paid for one survivor, 75% for two, and 100% for three or more.

The widow(er)'s pension ceases on remarriage.

The minimum survivor pension is 50% of the minimum old-age pension under Old-Age, Disability, and Survivors.

The minimum monthly old-age pension is 861.80 lei; 767.22 lei for agricultural workers.

There is no maximum survivor pension.

Benefit adjustment: Benefits are adjusted in April according to changes in consumer prices and average earnings in the previous year.

Death grant: A lump sum is paid depending on the category and number of dependents.

Administrative Organization

Ministry of Labor, Social Protection, and Family (http://www.mmpsf.gov.md) provides general supervision.

National Office of Social Insurance (http://www.cnas.md) administers and pays cash benefits.

Local health departments of the Ministry of Health (http://www.ms.gov.md) administer medical services provided through clinics, hospitals, and other facilities.

Unemployment

Regulatory Framework

First and current laws: 1992 (employment) and 2003 (employment and social protection for job seekers).

Type of program: Social insurance system.

Coverage

Residents of Moldova, including self-employed persons.

Source of Funds

Insured person: See source of funds under Old Age, Disability, and Survivors.

Self-employed person: See source of funds under Old Age, Disability, and Survivors.

Employer: See source of funds under Old Age, Disability, and Survivors.

Government: Subsidies as required.

Qualifying Conditions

Unemployment benefit: Must be registered at an employment office, have at least nine months of covered employment in the last 24 months before the date of registration, be willing and able to work, and have no taxable income.

Benefits may be reduced, postponed, suspended, or terminated if the insured is discharged for violating work discipline rules, leaving employment without good cause, violating conditions for a job placement or vocational training, or filing fraudulent claims.

Unemployment Benefits

30%, 40%, or 50% of the insured's average wage in the last place of work is paid, depending on the cause and circumstances of unemployment.

With up to five years of employment, the benefit is paid for up to six months; with five to 10 years, the benefit is paid for up to nine months; with more than 10 years of employment, the benefit is paid for up to 12 months.

Benefit adjustment: Benefits are adjusted on an ad hoc basis.

Administrative Organization

Ministry of Labour, Social Protection and Family (http://www.mmpsf.gov.md) and National Employment Agency (http://www.anofm.md) administer the program.

Family Allowances

Regulatory Framework

First law: 1977.

Current laws: 1992 (children), 1993 (children and family protection), 1999 (social insurance benefits), and 2002 (family allowances).

Type of program: Social insurance and social assistance system.

Coverage

Families with children residing in Moldova.

Source of Funds

Insured person: See source of funds under Old Age, Disability, and Survivors.

Self-employed person: See source of funds under Old Age, Disability, and Survivors.

Employer: See source of funds under Old Age, Disability, and Survivors.

Government: None.

Qualifying Conditions

Child care allowance (social insurance and social assistance): Paid to an insured person who is on child care leave or to another eligible person (a parent, grandparent, or other relative or guardian, regardless of family income) for a child younger than age 3; paid to a noninsured person for a child younger than age 18 months.

Insured persons must have at least nine months of contributions in the last 24 months or a total of three years of contributions before the child's birth.

Family allowance for disabled children (social assistance): Paid for a child younger than age 18 assessed with a disability.

Birth grant (social insurance and social assistance): Paid for each live birth, regardless of family income.

Family Allowance Benefits

Child-raising allowance (social insurance and social assistance): For an insured person's child younger than age 3, 30% of the insured's average income in the 12 months preceding the child's month of birth is paid; for a noninsured person's child younger than age 18 months, 440 lei is paid.

The minimum child-raising allowance for an insured person's child younger than age 3 is 440 lei.

Allowance for disabled children (social assistance): 490.48 lei a month is paid for a child assessed with a severe disability; 473.63 lei a month for a significant disability; and 333.51 lei a month for a medium disability.

The National Council for Determining Disability and Work Capacity assesses the degree of disability.

Birth grant (social insurance and social assistance): 3,100 lei is paid for the first child; 3,400 lei for each additional child.

Administrative Organization

Ministry of Labor, Social Protection, and Family (http://www.mmpsf.gov.md) coordinates and supervises the program.

National Office of Social Insurance (http://www.cnas.md) administers the program through 41 regional offices.