Cuba

Old Age, Disability, and Survivors

Regulatory Framework

First laws: 1963, 1964, and 1979 (social security).

Current law: 2008 (social security), implemented in 2009.

Type of program: Universal, social insurance, and social assistance system.

Coverage

Universal: Residents of Cuba.

Social insurance: Public- and private-sector employees.

Special systems for military personnel, interior ministry staff, self-employed persons, certain artists, musicians, and members of agricultural and nonagricultural cooperatives.

Social assistance: Needy residents of Cuba.

Source of Funds

Insured person

Universal and social assistance: None.

Social insurance: 2.5% of monthly earnings up to 20 CUC (500 CUP) and 5% of monthly earnings exceeding 20 CUC (500 CUP).

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

The insured person's contributions also finance cash sickness and maternity benefits, and work injury benefits.

Self-employed person

Universal and social assistance: None.

Social insurance: Not applicable.

Employer

Universal and social assistance: None.

Social insurance: 12.5% (public sector) or 14.5% (private sector) of gross monthly payroll.

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

The employer's contributions also finance cash sickness and maternity benefits, and work injury benefits.

Government

Universal and social assistance: The total cost.

Social insurance: Finances any deficit; contributes as an employer.

Qualifying Conditions

Old-age pension (Pensión por Edad Ordinaria, social insurance): Age 65 (men) or age 60 (women) with at least 30 years of employment; age 60 (men) or age 55 (women) if 75% of the insured's total employment history or the 15 years of employment immediately before retirement involved arduous or dangerous work.

The insured must be employed immediately before retirement or have been employed at the time the pension qualifying conditions were met.

Partial pension (Pensión por edad extraordinaria): Age 65 (men) or age 60 (women) with at least 20 years but less than 30 years of employment.

The insured must be employed immediately before retirement or have been employed at the time the pension qualifying conditions were met.

Old-age pensioners who retired with a full or partial old-age pension may re-enter the labor force and receive both a pension and a salary as long as they are employed in a position different from the one held before retirement.

Supplement for exceptional merit (Incremento por mérito excepcional): Paid if the insured had an exceptionally distinguished career.

The old-age pension is not payable abroad.

Old-age benefit (social assistance, means tested): Age 65 (men) or age 60 (women) with less than 20 years of employment. Must be incapable of work and have no family members for support.

Disability pension (Pensión por Invalidez, social insurance): Must be assessed with a total physical and/or mental incapacity for usual work while currently employed or within 60 days of ceasing employment.

An expert medical commission assesses the degree of disability.

Constant-attendance supplement (Incremento por asistencia por otra persona): Paid if the insured requires the constant attendance of others to perform daily tasks.

Partial disability (Pensión por invalidez parcial): Must be assessed with a diminished physical and/or mental capacity but able to work under certain conditions.

Supplement for exceptional merit (Incremento por mérito excepcional): Paid if the insured had an exceptionally distinguished career.

Heroic act supplement (Incremento por acto heróico): Paid if the illness or injury occurred while the insured was defending the country, saving lives, preventing violent acts, or protecting public property.

The disability pension is not payable abroad.

Disability benefit (social assistance, means tested): Must be assessed as incapable of work and have no family members for support.

Survivor pension (Pensión por causa de Muerte, social insurance): The deceased received or was entitled to receive an old-age or disability pension, was employed at the time of death or disappearance, or had ceased employment within the six months before the death or disappearance.

Eligible survivors include a widow or female partner who was married to or had lived with the deceased for at least one year at the time of death, or who had children with the deceased (no restrictions if the death was due to an accident); a widower or male partner aged 65 or older or disabled; orphans younger than age 17 (no limit if disabled and economically dependent on the deceased or if a full orphan in higher or technical education); and dependent parents.

Heroic act supplement (Incremento por acto heróico): Paid if the death occurred while the deceased was defending the country, saving lives, preventing violent acts, or protecting public property.

The survivor pension is not payable abroad.

Survivor benefit (social assistance, means tested): Paid to a survivor of an employee or old-age or disability pensioner who was dependent on the deceased, is incapable of any work, and does not qualify for a survivor pension.

Funeral benefit (Servicios Funerarios, universal, in-kind): There is no minimum qualifying condition.

Old-Age Benefits

Old-age pension (Pensión por Edad Ordinaria, social insurance): 60% of the insured's average monthly earnings in the best five years of earnings in the last 15 years of employment plus 2% of average monthly earnings for each year of employment exceeding 30 years is paid.

For a pensioner who returns to work, the pension is increased by 2% of his or her new average monthly earnings for each year of employment since reentering the labor force.

Partial pension (Pensión por edad extraordinaria): 40% of the insured's average monthly earnings in the best five years of earnings in the last 15 years of employment plus 2% of average monthly earnings for each year of employment exceeding 20 years is paid.

Supplement for exceptional merit (Incremento por mérito excepcional): 10% to 25% of the old-age pension is paid.

The minimum monthly old-age pension is 11.20 CUC (280 CUP).

The maximum monthly old-age pension (including the supplement for exceptional merit) is 90% of the insured's average monthly earnings.

Benefit adjustment: Benefits are adjusted by government decree based on social and economic factors.

Old-age benefit (social assistance, means tested): A periodical benefit is paid.

Benefit adjustment: Benefits are adjusted by government decree based on social and economic factors.

Permanent Disability Benefits

Disability pension (Pensión por Invalidez, social insurance): For a total disability, 50% of the insured's average monthly earnings in the best five years of earnings in the last 15 years of employment is paid for up to 20 years of employment plus 1% of average monthly earnings for each year of employment from 21 to 30 years of employment plus 2% of average monthly earnings for each year of employment exceeding 30 years.

Constant-attendance supplement (Incremento por asistencia por otra persona): 20% of the disability pension is paid.

The minimum monthly disability pension is 11.20 CUC (280 CUP).

The maximum monthly disability pension (including the heroic act supplement and the supplement for exceptional merit) is 90% of the insured's average monthly earnings.

Partial disability (Pensión por invalidez parcial): 60% of the insured's average monthly earnings in the 12 months before the disability began is paid for up to one year while the insured is waiting to modify his or her job, switch jobs, or reduce working hours to adapt to the disability, or until rehabilitated. After returning to work, 50% of the difference between the insured's salary before and after the disability began is paid.

Supplement for exceptional merit (Incremento por mérito excepcional): 10% to 25% of the disability pension is paid.

Heroic act supplement (Incremento por acto heróico): 20% of the insured's average monthly earnings in the best five of earnings in the last 15 years of employment is paid.

Benefit adjustment: Benefits are adjusted by government decree based on social and economic factors.

Disability benefit (social assistance, means tested): A periodical benefit is paid.

Benefit adjustment: Benefits are adjusted by government decree based on social and economic factors.

Survivor Benefits

Survivor pension (Pensión por causa de Muerte, social insurance): If the deceased received or was entitled to receive an old-age or disability pension, 100% of the old-age or disability pension is paid for the first month; thereafter, 70%, 85%, or 100% of the old-age or disability pension for one, two, or three or more dependent survivors, respectively. If the deceased was not entitled to receive an old-age or disability pension, 100% of the deceased's earnings is paid for one month. The pension is split equally among all eligible survivors.

A nonworking widow younger than age 40 who is able to work and has no dependents may receive the pension for up to two years. A working widow may receive the survivor pension in addition to her salary.

Heroic act supplement (Incremento por acto heróico): 20% of the deceased's average monthly earnings in the best five years of earnings in the last 15 years of employment is paid.

The minimum monthly survivor pension is 11.20 CUC (280 CUP).

The maximum monthly survivor pension for a working widow is 25% of the combined monthly survivor pension.

Benefit adjustment: Benefits are adjusted by government decree based on social and economic factors.

Survivor benefit (social assistance, means tested): A periodical benefit is paid.

Benefit adjustment: Benefits are adjusted by government decree based on social and economic factors.

Funeral benefit (Servicios Funerarios, universal, in-kind): Free funeral services are provided.

Administrative Organization

Ministry of Labor and Social Security (http://www.mtss.gob.cu/) oversees and administers the programs through the Directorate of Prevention, Assistance and Social Labor and the National Institute of Social Security (INASS).

Municipal offices of the National Institute of Social Security (INASS) process applications for the social assistance program and provide free funeral services.

People's Savings Bank (http://www.bpa.cu/) pays pensions.

National Tax Administration Office (http://www.onat.gob.cu/) collects and manages contributions.

Sickness and Maternity

Regulatory Framework

First laws: 1934 (maternity benefits) and 1963 (sickness benefits).

Current laws: 2008 (social security), implemented in 2009; 2013 (labor code), implemented in 2014; and 2016 (maternity), implemented in 2017.

Type of program: Universal (medical benefits) and social insurance (cash and in-kind benefits) system.

Coverage

Universal: Citizens and permanent residents of Cuba.

Social insurance: Public- and private-sector employees.

Special systems for military personnel, interior ministry staff, self-employed persons, certain artists, musicians, and members of agricultural and nonagricultural cooperatives.

Source of Funds

Insured person

Universal: None.

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

Self-employed person

Universal: None.

Social insurance: Not applicable.

Employer

Universal: None.

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

Government

Universal: The total cost.

Social insurance: Finances any deficit; contributes as an employer.

Qualifying Conditions

Cash sickness benefit (Subsidio por Enfermedad o Accidente, social insurance): There is no minimum qualifying period. Must present a medical certificate that validates the sickness.

Medical certification is required every 30 days; a review by a medical committee is required every 26 weeks.

Heroic act supplement (Incremento por acto heróico): Paid if the incapacity began while defending the country, saving lives, preventing violent acts, or protecting public property.

Tuberculosis benefit (social insurance): Must be diagnosed with tuberculosis and provide a medical certificate.

Cash maternity benefit (Licencia Retribuida de Maternidad, social insurance): Must be currently employed with at least 75 days of employment in the 12 months before maternity leave. Maternity leave must begin no earlier than the 34th (32nd for a multiple births) week of pregnancy.

Maternity social benefit (Prestación Social, social insurance): Paid for the birth of a child after the cash maternity benefit ends.

Complementary maternity leave (Licencia Complementaria de Maternidad, social insurance): Must be currently employed and have at least 75 days of employment in the 12 months before maternity leave.

Medical benefits (universal): There is no minimum qualifying period.

Sickness and Maternity Benefits

Sickness benefit (Subsidio por Enfermedad o Accidente, social insurance): 60% (50% if hospitalized) of the insured's average monthly earnings in the 12 months before the incapacity began is paid after a three-day waiting period (no waiting period if hospitalized) for up to six months or until a disability pension is paid; may be extended for an additional six months with a medical certificate.

Heroic act supplement (Incremento por acto heróico): 20% of the sickness benefit is paid.

The minimum monthly sickness benefit is 50% of the legal monthly minimum wage.

The legal monthly minimum wage is 16 CUC (400 CUP).

The maximum monthly sickness benefit is 90% of the insured's average monthly earnings in the last 12 months.

Tuberculosis benefit (social insurance): 100% of the insured's earnings is paid until recovery.

Maternity benefit (Licencia Retribuida de Maternidad, social insurance): 100% of the insured's average weekly earnings in the 12 months immediately before the leave begins is paid for six weeks (eight weeks for multiple births) before and 12 weeks after the expected date of childbirth.

The minimum monthly maternity benefit is the legal monthly minimum wage.

The legal monthly minimum wage is 16 CUC (400 CUP).

Schedule of payments: The maternity benefit is paid in three installments.

Maternity social benefit (Prestación Social, social insurance): 60% of the insured's mother's average monthly earnings in the 12 months before the maternity leave is paid until the child is aged 12 months and continues if the mother returns to work. The benefit may be transferred to an employed father or grandparent, in which case 60% of his or her average monthly earnings in the 12 months before childbirth is paid.

Complementary maternity leave (Licencia Complementaria de Maternidad, social insurance): Before the maternity leave begins, the woman is entitled to six days or 12 half days of paid leave for prenatal care. After the maternity leave ends, the mother or father is entitled to one day a month for pediatric care and one hour a day for breastfeeding.

Workers' Medical Benefits

Medical benefits (universal): Public medical centers provide free medical services. Benefits include general and specialized medical care, dental, and maternity care; medicine; hospitalization (including food and medicine); and rehabilitation. Benefits are provided until recovery.

Dependents' Medical Benefits

Medical benefits (universal): Dependents are covered in their own right.

Administrative Organization

Ministry of Labor and Social Security (http://www.mtss.gob.cu/) oversees and administers the program through the Directorate of Prevention, Assistance, and Social Labor and the National Institute of Social Security.

Ministry of Public Health (https://salud.msp.gob.cu/) oversees and administers the provision of medical benefits through the National Health System.

Work Injury

Regulatory Framework

First law: 1916 (work injury).

Current law: 2008 (social security), implemented in 2009.

Type of program: Social insurance system.

Coverage

Public- and private-sector employees.

Special systems for military personnel, interior ministry staff, self-employed persons, certain artists, musicians, and members of agricultural and nonagricultural cooperatives.

Source of Funds

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

Self-employed person: Not applicable.

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

Government: Finances any deficit; contributes as an employer.

Qualifying Conditions

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

Temporary Disability Benefits

80% (70% if hospitalized) of the insured's average monthly earnings in the 12 months before the disability began is paid from the first day of disability for up to six months or until certification of a permanent disability; may be extended for an additional six months with a medical certificate.

Medical certification is required every 30 days; a review by a medical committee is required every 26 weeks.

Heroic act supplement (Incremento por acto heróico): 20% of the temporary disability benefit is paid if the accident occurred or occupational disease began while defending the country, saving lives, preventing violent acts, or protecting public property.

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

The legal monthly minimum wage is 16 CUC (400 CUP).

The maximum monthly temporary disability benefit (including the heroic act supplement) is 90% of the insured's average monthly earnings in the 12 months before the disability began.

Permanent Disability Benefits

Permanent disability pension (Pensión por Invalidez): 60% of the insured's average monthly earnings in the best five years of earnings in the last 15 years of employment plus 2% of average monthly earnings for each year of employment exceeding 30 years plus an additional 10% of the resulting amount is paid.

Constant-attendance allowance (Incremento por asistencia por otra persona): 20% of the permanent disability pension is paid if the insured requires the constant attendance of others to perform daily functions.

The minimum monthly permanent disability pension is 11.20 CUC (280 CUP).

The maximum monthly permanent disability pension (including the heroic act supplement) is 90% of the insured's average monthly earnings.

Partial disability: 80% of the insured's average monthly earnings in the 12 months before the disability began is paid for up to one year while the insured is waiting to modify his or her job, switch jobs, or reduce working hours to adapt to the disability, or until rehabilitated or assessed with a total disability. After returning to work, 60% of the difference between the insured's earnings before and after the date of disability is paid.

Heroic act supplement (Incremento por acto heróico): 20% of the insured's average monthly earnings in the best five years of earnings in the last 15 years of employment is paid if the disability began while defending the country, saving lives, preventing violent acts, or protecting public property.

Workers' Medical Benefits

The National Health System provides universal medical services, including for work injuries (see Sickness and Maternity).

Survivor Benefits

Survivor pension (Pensión por causa de Muerte): If the deceased received or was entitled to receive an old-age or disability pension, 100% of the old-age or disability pension is paid for the first month; thereafter, 70%, 85%, or 100% of the old-age or disability pension for one, two, or three or more dependent survivors, respectively. If the deceased was not entitled to receive an old-age or disability pension, 100% of the deceased's earnings is paid for one month. The pension is split equally among all eligible survivors.

The pension is paid for up to two years to a nonworking widow younger than age 40 who is able to work and has no dependents. A working widow may receive the survivor pension in addition to her salary.

Heroic act supplement (Incremento por acto heróico): 20% of the deceased's average monthly earnings in the five years of highest earnings in the last 15 years of employment is paid if the death occurred while defending the country, saving lives, preventing violent acts, or protecting public property.

Eligible survivors include a widow or female partner who was married to or had lived with the deceased for at least one year at the time of death, or who had children with the deceased (no restrictions if the death was due to an accident); a widower or male partner aged 65 or older or disabled; orphans younger than age 17 (no limit if disabled and economically dependent on the deceased or if a full orphan in higher or technical education); and dependent parents.

The minimum monthly survivor pension is 11.20 CUC (280 CUP).

The maximum monthly survivor pension for a working widow is 25% of the combined monthly survivor pension.

Benefit adjustment: Benefits are adjusted by government decree, based on social and economic factors.

Administrative Organization

Ministry of Labor and Social Security (http://www.mtss.gob.cu/) oversees and administers the program through the Directorate of Prevention, Assistance, and Social Labor and the National Institute of Social Security.

Ministry of Public Health (https://salud.msp.gob.cu/) oversees and administers the provision of medical benefits through the National Health System.

Family Allowances

Regulatory Framework

Dependents of young workers conscripted into military service are eligible for social security assistance. Cash benefits are available for families whose head of household is unemployed due to health, disability, or other justifiable causes, and has insufficient income for food and medicine or basic household needs.

¹ Note: Cuba has a two currency system consisting of the Cuban convertible peso (CUC) and the Cuban peso (CUP).