CHANGING POLICY ON SOCIAL INSURANCE AND HEALTH INSURANCE FROM 01/01/2021

According to the Labor Code 2019 effective from 01/01/2021, there will be 3 changes in pensions for employees compared to now.

Also from 01/01/2021, the holder of a health insurance card who goes to the wrong level at the provincial hospital will be paid 100% of the inpatient treatment by the health insurance fund within the range of the health insurance card.

1. Change in social insurance policy

1.1. Change of eligibility:

From 2021, the retirement age will be adjusted to increase following Clause 2, Article 169 of the Labor Code 2019. Accordingly, the retirement age of the employee under normal working conditions is:

• In 2021, men are full 60 years of age and 03 months, women are full 55 years and 04 months, and when they quit their jobs, they paid social insurance premiums for full 20 years or more.
• Thereafter, each year, the number of ages will increase by 03 months for men and 04 months for women, until men reach 62 years old (by 2028) and women reach 60 years old (by 2035).

1.2. Changing the number of years of social insurance payment for male employees to calculate the pension entitlement rate:

• In case of pension entitlement for the period from 01/01/2021 to the end of 31/12/2021: Paying full 19 years of social insurance premium, 45% (currently 18 years).
• In case of enjoying pension from 01/01/2022: Pay full 20 years of social insurance, then get 45%.
• After that, for every additional year of paying social insurance, the rate will be added 2% more.
• The rate (%) enjoying the maximum monthly pension is 75%.

1.3. Change of conditions for pension entitlement when losing working capacity:

Employees with full 20 years of social insurance payment or more are entitled to a lower pension if falling into one of the following cases:

• Employees suffering a working capacity decrease of 61% to less than 81% and having a maximum 05 years younger than the retirement age: Men must be full 55 years and 03 months and women must be full 50 years and 04 months (before, men must be full 55 years old, women must be full 50 years old).
• Employees suffering a working capacity decrease of 81% or more, being 10 years younger than the retirement age: Men must be full 50 years and 03 months and women must be full 45 years and 04 months (before, men must be full 50 years old, women must be full 45 years old).

2. Changes in health insurance policy

From 2021, the holder of the health insurance card when going for medical examination at the wrong level will be paid at the rate as follows:

According to Clause 3 Article 22 of the Law on Health Insurance 2008 (amended and supplemented 2014), in case the person who has the health insurance card when going for medical examination at the wrong level is paid by the health insurance fund at the rate specified in Clause 1, Article 22 of the Law on Health Insurance (the rate of entitlement to travel examination at the right level) according to the following rates:

• At central hospitals is 40% of the cost of inpatient treatment;
• At provincial hospitals, it is 100% of inpatient costs nationwide (currently 60%);
• At district hospitals, it is 100% of medical care costs.

Reference:

1. Labor Code 2019:
   https://thuvienphapluat.vn/van-ban/lao-dong-tien-luong/Bo-Luat-lao-dong-2019-333670.aspx 
2. Law on Health Insurance 2008:
   https://thuvienphapluat.vn/van-ban/bao-hiem/Luat-bao-hiem-y-te-2008-25-2008-QH12-82196.aspx