Monaco

Old Age, Disability, and Survivors

Regulatory Framework

First laws: 1944 (workers) and 1958 (self-employed).

Current laws: 1947, 1956, 1961, 1971, 1974, 1976, 1980, and 1983.

Type of program: Social insurance system.

Coverage

Employed persons.

Special systems for self-employed persons and public employees.

Source of Funds

Insured person: Old-age insurance is 6.15% of earnings. There is no disability insurance.

Employer: Old-age insurance is 6.15% of payroll plus an additional 0.86% of payroll (the additional rate covers breaks in insured employment arising from illness, unemployment, and so on). Disability insurance is 14.90% of payroll (also covers sickness insurance, maternity, and family benefits).

Government: None.

The maximum monthly earnings for insured persons and employer contribution purposes is €3,550 for old-age insurance and €5,640 for invalidity insurance.

Qualifying Conditions

Old-age pension: Age 65 (men and women) and 10 years of insurance coverage with at least 169 hours of employment each year; 60 months of effective or deemed employment.

Early retirement is available at age 60 with cessation of all work activity. Women can retire at age 55 if they have raised at least three children. Retirement can be deferred after age 65.

Disability pension: Under age 60, and a total loss of capacity to work (total disability) or loss of 2/3 of capacity (partial disability); 12 months' registration in previous 15 months; 800 hours of employment in previous 12 months, with 200 hours in previous 3 months.

Survivor pension: Age 50 years (widows). Age 65 years; or age 60 if disabled (widowers). No age limit if caring for at least one child; 4 years of marriage at the date of death or married 2 years before date of retirement of deceased spouse or at least one child issued from the marriage. Deceased was a pensioner or met insurance requirements for a pension.

Old-Age Benefits

Old-age pension: Benefit is calculated as the number of points acquired multiplied by the value of a point (€14.83). Number of points acquired during any 1-year period is obtained by dividing the declared earnings by the basic salary in force up to a limit of 4 points per month.

Permanent Disability Benefits

Disability pension: Benefit is 30% or 50% of the average monthly earnings over the previous 60 months depending on the category of disability.

Guaranteed minimum income for disabled persons under age 65 is equal to twice the Standard Minimum Income (€2,255 per quarter).

Constant care supplement: 40% of the disability pension.

Survivor Benefits

Surviving spouse pension: 60% of pension paid to the deceased.

Orphan's pension: 25% of deceased's pension for each orphan under age 18 (under age 20 if an apprentice, age 21 if a student). Full orphans receive 50% of the highest pension. The combined total of orphan's pensions cannot exceed the highest pension amount of the insured.

Administrative Organization

Independent Employees Pension Fund administers employees old-age insurance scheme. Tripartite administration.

Compensation Fund for Social Services administers employees' disability insurance. Tripartite administration.

Independent Pension Fund for Self-Employed Workers administers self-employed old-age insurance. Tripartite administration.

Sickness and Maternity

Regulatory Framework

First laws: 1944 (employees) and 1982 (self-employed persons).

Current laws: 1949, 1959, 1971, 1981, 1982, and 1983.

Type of program: Social insurance system.

Coverage

Employed persons.

Special scheme for self-employed persons.

Source of Funds

Insured person: None.

Employer: The contribution for sickness and maternity benefits is taken from the 14.90% of payroll contribution for disability insurance made under Old Age, Disability, and Survivors (see above).

Government: None.

Qualifying Conditions

Cash sickness benefit: If less than 6 months of interruptions from employment, 120 hours of effective or deemed employment during the last month or 200 hours during the last 3 months. If interruptions to employment equate to more than 6 months, 12 months of contributions in previous 15 months and 800 hours of work or deemed work in the previous 12 months of which 200 hours were in the preceding 3 months.

Cash maternity benefit: One month's registration in the quarter preceding conception and continuing registration and 85 hours of work each month between conception and the medical confirmation of pregnancy.

Medical benefits: 120 hours of employment in the last month or 200 hours in the previous 3 months.

Maternity medical benefits: 120 hours of employment in the last month or 200 hours in the previous 3 months.

Sickness and Maternity Benefits

Sickness benefit: 50% of the average daily salary of the previous 12 months up to the limit of €94. Benefit is payable after the first 3 days, up to a maximum of 360 days. Benefit entitlement can be extended for 3 or 4 years in cases of chronic or recurrent illness.

Maternity benefit: 90% of the average salary of the previous 12 months. Benefit for the first and second child (with fewer than two children already at home), payable for 8 weeks before and 8 weeks after expected date of childbirth; third and subsequent children (or with two children already at home), 8 weeks before and 18 weeks after expected date of childbirth; for twins (with no other children in the family), 8 weeks before and 10 weeks after expected date of childbirth; and other multiple births, 8 weeks before and 20 weeks after expected date of childbirth.

Workers' Medical Benefits

Reimbursements for medical costs include primary and specialist treatment, hospitalization, laboratory services, pharmaceuticals, dental care, appliances, and transportation.

The rates applied by medical practitioners and auxiliary medical services to insured persons are classified into three categories according to the income and family size.

1. Standard rate with no extras;
2. 20% higher than standard rate;
3. Fee set by prior agreement with practitioner.

The award is up to 80% of the cost of the medical benefit, up to the limit of the first category rate. This rate can increase to 100% for lengthy and costly treatment or for certain complicated procedures, including complicated surgery and prolonged hospitalization.

Dependents' Medical Benefits

Same as for insured person.

Administrative Organization

Compensation Fund for Social Services administers the employee's scheme. Tripartite administration.

Special scheme for self-employed persons is administered by a separate fund.

Work Injury

Regulatory Framework

First and current law: 1958.

Type of program: Obligatory private insurance scheme.

Unemployment

Regulatory Framework

Coverage provided through the French scheme for unemployment insurance.

Family Allowances

Regulatory Framework

First law: 1938.

Current law: 1954.

Coverage

Employed persons.

Source of Funds

Insured person: None.

Employer: The contribution for family benefits is taken from the 14.90% of payroll contribution made for disability insurance under Old Age, Disability, and Survivors (see above).

Government: None.

Qualifying Conditions

Family allowance: Child under age 6 (under age 16 if a school pupil; age 17 if searching for first job; age 21 if an apprentice, a student in further or higher education, or disabled).

Prenatal allowance: Head of the household registered; at least 77 hours of employment or deemed employment during the related month. A formal declaration of pregnancy during the first 3 months following conception supported by a medical examination of the mother.

Family Allowance Benefits

Family allowance: For employment of 145 hours (prorated if employed between 77 hours and 144 hours) the allowance is €112 a month for each child under age 3; €168 for each child aged 3 to 6 years; €202 for each child aged 6 to 10 years; €235 for each child aged 10 to 21 years.

Prenatal allowance: For employment of 145 hours (prorated if employed between 77 hours and 144 hours) the allowance is €112 a month.

Education grant: The amount varies according to the different lessons attended by children going to school in Monaco (between €53 and €338) or France (between €26 and €338).

Administrative Organization

Compensation Fund for Social Services administers the scheme. Tripartite administration.