Rwanda

Old Age, Disability, and Survivors

Regulatory Framework

First law: 1956 (workers’ pensions in Belgian Congo and Rwanda-Urundi).

Current laws: 1974 (social security), 2003 (social security), and 2015 (pension schemes).

Type of program: Social insurance system.

Coverage

Salaried workers, including temporary and casual workers; professional and in-service trainees; apprentices; civil servants; political appointees; government officials; and employees of international organizations and foreign governments residing in Rwanda.

Voluntary coverage for self-employed persons (affiliation available up to age 50), and for persons who previously had mandatory coverage.

Source of Funds

Insured person: 3% of monthly covered earnings; 6% for the voluntarily insured.

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

There are no maximum earnings used to calculate contributions.

Self-employed person: 6% of declared income, including base salary, allowances, and other benefits.

The minimum monthly earnings used to calculate contributions are 100% of the insured’s previous base salary.

With the self-employed person’s approval, the base salary may increase by up to 30% after every three years of voluntary contributions.

Employer: 3% of gross monthly covered payroll.

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

There are no maximum earnings used to calculate contributions.

Government: None; contributes as an employer.

Qualifying Conditions

Old-age pension: Age 60 (younger if prematurely aged) with at least 180 months of contributions.

Employment must cease.

The old-age pension is payable abroad under reciprocal agreement.

Old-age settlement: Age 60 (younger if prematurely aged) with less than 180 months of contributions.

Disability pension: Must have at least a 50% assessed loss of earning capacity and have at least 60 months of contributions, including six months of contributions in the 12 months before the disability began. There is no minimum qualifying period for a nonwork-related accident.

Constant-attendance allowance: Paid if the insured requires the constant attendance of others to perform daily functions.

A doctor approved or appointed by the Rwanda Social Security Board periodically assesses the disability.

Survivor pension: The deceased received or was entitled to receive an old-age or disability pension, or had at least 180 months of contributions at the time of death.

Eligible survivors include a widow(er), unmarried nonworking orphans younger than age 18 (age 25 if a student, no limit if disabled), and parents (including adoptive parents) if there is no widower(er) or orphan.

The widow(er)’s pension ceases upon remarriage.

Survivor settlement: The deceased did not qualify for an old-age or disability pension and had less than 180 months of contributions.

Eligible survivors include a widow(er), unmarried nonworking orphans younger than age 18 (age 25 if a student, no limit if disabled), and parents (including adoptive parents) if there is no widow(er) or orphan.

Old-Age Benefits

Old-age pension: 30% of the insured’s average monthly earnings in the last five years plus 2% of the average monthly earnings for every 12 months of contributions exceeding 180 months is paid. If the insured did not contribute for the five years immediately before the claim is made, the average monthly earnings are based on the total number of months of contributions in the last five years of employment divided by 60.

The minimum monthly old-age pension is 50% of the legal monthly minimum wage.

Benefit adjustment: Benefits are adjusted periodically by presidential decree based on an actuarial evaluation.

If the insured is entitled to two or more pensions (including work injury benefits), each pension is paid fully.

Old-age settlement: A lump sum of 100% of the insured’s average monthly earnings in the last five years of contributions (in the entire contribution period if the insured has less than five years of contributions) multiplied by the number of years of contributions is paid.

Permanent Disability Benefits

Disability pension: 30% of the insured’s average monthly earnings in the last five years plus 2% of average monthly earnings for every 12 months of contributions exceeding 180 months is paid. For each year that a claim is made before age 60, the insured is credited with six months of contributions.

The minimum monthly disability pension is 50% of the legal monthly minimum wage.

Constant-attendance allowance: 40% of the disability pension is paid.

Benefit adjustment: Benefits are adjusted periodically by presidential decree based on an actuarial evaluation.

Survivor Benefits

Survivor pension

Spouse’s pension: 50% of the old-age or disability pension the deceased received or was entitled to receive is paid.

Orphan’s pension: 25% of the old-age or disability pension the deceased received or was entitled to receive is paid for each eligible orphan; 50% for a full orphan.

Other eligible survivors: 25% of the old-age or disability pension the deceased received or was entitled to receive is paid to each eligible parent.

The maximum combined survivor pension is 100% of the old-age or disability pension the deceased received or was entitled to receive.

Survivor settlement

Spouse’s settlement: A lump sum of one month of the old-age pension the deceased would have received with 180 months of contributions is paid for every six months of contributions the deceased had.

Orphan’s settlement: A lump sum of 50% of the spouse’s settlement is paid to each eligible orphan.

The maximum combined orphan’s settlement is 200% of the spouse’s settlement.

Other eligible survivors: A lump sum of 50% of the spouse’s settlement is paid to the surviving parent(s).

Benefit adjustment: Benefits are adjusted periodically by presidential decree based on an actuarial evaluation.

Administrative Organization

Ministry of Finance and Economic Planning (http://www.minecofin.gov.rw/) provides general supervision.

Rwanda Social Security Board (http://www.rssb.rw/), managed by a tripartite council and a director general, administers the program.

Rwanda Revenue Authority (https://www.rra.gov.rw/) collects contributions.

Sickness and Maternity

Regulatory Framework

First laws: 1967 (labor law) and 2007 (community health insurance).

Current laws: 2015 (organization of community-based health insurance), 2015 (health insurance schemes), 2016 (maternity benefits), and 2018 (labor law).

Type of program: Social insurance (cash maternity and medical benefits) and employer-liability (cash sickness and maternity benefits) system.

Coverage

Social insurance (cash maternity benefits): Persons in formal employment.

Exclusion: Self-employed persons.

Social insurance (community-based health insurance): Residents of Rwanda not covered by any other health insurance program.

Social insurance (public health insurance): Employees in the public sector, private-sector employees, and pensioners who previously contributed toward medical care.

Exclusions: Self-employed persons.

Special systems for military personnel.

Employer liability: Employed persons, including apprentices.

Exclusions: Temporary and casual agricultural workers, small-scale artisans, household workers, and self-employed persons.

Source of Funds

Insured person

Social insurance (cash maternity benefit): 0.3% of gross monthly earnings.

Social insurance (community-based health insurance): An annual flat-rate contribution of 2,000 francs, 3,000 francs, or 7,000 francs a year, depending on socioeconomic category.

Social insurance (public health insurance): 7.5% of monthly basic earnings (employees) or 7.5% of the pension (pensioners).

Employer liability (cash sickness and maternity benefits): None.

Self-employed person

Social insurance (cash maternity benefits): Not applicable.

Social insurance (community-based health insurance): An annual flat-rate contribution of 2,000 francs, 3,000 francs, or 7,000 francs, depending on socioeconomic category.

Self-employed persons can pay a higher premium (at least 10,000 francs a year) for a higher level of access or services.

Social insurance (public health insurance): Not applicable.

Employer liability (cash sickness and maternity benefits): Not applicable.

Employer

Social insurance (cash maternity benefit): 0.3% of gross monthly payroll.

Social insurance (community-based health insurance): None.

Social insurance (public health insurance): 7.5% of monthly basic payroll.

Employer liability (cash sickness and maternity benefits): The total cost.

Government

Social insurance (cash maternity benefit): None.

Social insurance (community-based health insurance): The total cost of premiums for the lowest socioeconomic category; finances any deficit.

Transfers from international donors and the special system for military personnel also finance the community-based health insurance program.

Social insurance (public health insurance): 7.5% of the pension for pensioners.

Employer liability (cash sickness and maternity benefits): None.

Qualifying Conditions

Cash sickness benefit (employer liability): Must be currently employed and provide a medical certificate. A medical certificate signed by three medical doctors may be required for sick leave lasting at least 15 days.

Cash maternity benefit (social insurance and employer liability): Must be currently employed with at least one month of contributions. Must provide a medical certificate of delivery issued by a recognized health facility.

Medical benefits (community-based health insurance, social insurance): Must have paid premiums for at least 30 days.

Medical benefits (public health insurance, social insurance): There is no minimum qualifying period.

Sickness and Maternity Benefits

Sickness benefit (employer liability): 100% of the employee’s monthly earnings is paid for up to three months. Employees can take up to three additional months of unpaid leave.

Maternity benefit (social insurance and employer liability): 100% of the insured’s daily earnings is paid for 12 weeks (the employer pays for the first six weeks).

Up to one additional month of maternity leave is paid in case of delivery complications certified by an authorized medical doctor.

Workers’ Medical Benefits

Community-based health insurance (social insurance): Government health centers, district hospitals, and referral hospitals provide medical services. Benefits include vaccinations, general care, surgery, dental care, X-rays and imaging, laboratory services, rehabilitation services, hospitalization, medicine, maternity care, ambulance fees, and prostheses.

Cost sharing: A copayment is required. (10% of billable costs for services at the district level.)

Public health insurance (social insurance): Benefits include surgical interventions, hospitalization, chemotherapy, medical imaging, laboratory tests, physiotherapy, dental care, eye treatment, limb prosthesis and orthosis, dialysis, and full medical check-ups (for women aged 36 or older and men aged 41 or older).

Cost sharing: The insured pays 15% of the costs for covered medical treatments and prescribed medicines.

Dependents’ Medical Benefits

Community-based health insurance (social insurance): Benefits for dependents are the same as those for the insured.

Public health insurance (social insurance): Benefits for dependents are the same as those for the insured.

Administrative Organization

Ministry of Public Service and Labour (https://mifotra.gov.rw/) provides general oversight for the employer liability program.

Rwanda Social Security Board (http://www.rssb.rw/) administers the social insurance programs and collects contributions.

Work Injury

Regulatory Framework

First law: 1949 (Compensation for work accidents and occupational diseases in Belgian Congo and Rwanda-Urundi).

Current laws: 1974 (social security) and 2003 (social security).

Type of program: Social insurance system.

Coverage

Employed persons.

Exclusions: Self-employed persons.

Source of Funds

Insured person: None.

Self-employed person: Not applicable.

Employer: 2% of gross monthly payroll.

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

Government: None; contributes as an employer.

Qualifying Conditions

Must be assessed with a work injury or occupational disease. Occupational diseases and accidents that occur while commuting to and from work are covered.

Temporary Disability Benefits

75% of the insured’s average daily earnings in the three months before the disability began is paid until full recovery, until certification of permanent disability, or for up to 180 days (whichever occurs first).

A doctor approved or appointed by the Rwanda Social Security Board periodically assesses the disability.

Permanent Disability Benefits

Permanent disability pension: For a total (100%) disability, 85% of the insured’s average monthly earnings in the three months before the disability began is paid.

Constant-attendance allowance: 40% of the permanent disability pension is paid if the insured requires the constant attendance of others to perform daily functions.

Partial disability: For an assessed degree of disability of at least 15% but less than 100%, a percentage of the full permanent disability pension is paid based on the assessed degree of disability. For an assessed degree of disability of less than 15%, a lump sum of three years of the pension is paid, based on the assessed degree of disability.

A doctor approved or appointed by the Rwanda Social Security Board periodically assesses the disability.

Workers’ Medical Benefits

Benefits include medical, surgical, and dental care; laboratory services; medicine; hospitalization; eyeglasses; appliances; rehabilitation; and transportation.

Survivor Benefits

Survivor pension

Spouse’s pension: 30% of the deceased’s average daily earnings in the last three months before the disability began is paid to the widow(er).

Orphan’s pension: 15% of the deceased’s average daily earnings in the last three months before the disability began is paid for each unmarried nonworking orphan younger than age 18 (age 25 if a student, no limit if disabled); 20% for a full orphan.

Other eligible survivors: 10% of the insured’s average daily earnings in the last three months before the disability began is paid to each surviving parent.

The maximum combined survivor benefit is 100% of the permanent disability pension the deceased received or was entitled to receive.

Funeral grant: A lump sum of 100 times the legal monthly minimum wage is paid to the person who paid for the funeral.

Administrative Organization

Ministry of Finance and Economic Planning (http://www.minecofin.gov.rw/) provides general supervision.

Rwanda Social Security Board (http://www.rssb.rw/), managed by a tripartite council and a director general, administers the program.

Rwanda Revenue Authority (https://www.rra.gov.rw/) collects contributions.

Unemployment

Regulatory Framework

The 2018 labor law requires employers to provide severance pay in case of dismissal due to economic or technological reasons to an employee with at least 12 months of service. One month of the employee’s average salary is paid for at least one but less than five years of service; two months for at least five but less than 10 years, three months for at least 10 but less than 15 years; four months for at least 15 but less than 20 years; five months for at least 20 but less than 25 years; or six months for at least 25 years of service.