SOCIAL INSURANCE

Public Insurance: See you Great Monday!


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On Monday, 4th of April starts the fourth and probably the final round of negotiations between the government and institutions in connection with the new Public Insurance.

The Greek side has sent its final proposal in Brussels and Washington, and these are the main points of this proposal:

  • Imposing a “ceiling” on state funding for primary pensions from 2017
  • The implementation of zero deficit clause to supplementary insurance and welfare funds in 2016

The application of the zero deficit clause in supplementary pension funds and welfare -which are expected to merge, according to the latest

The indirect application of a zero deficit clause in the main insurance funds may bring 3-4% cuts in main pensions of time, if not cover the “hole” that will leave behind the reduction in state funding extra revenue the same insurance funds.

If this proposal accepted by the institutions, the government has managed to break into two large doses of the cuts to pensions. One dose will come this year and the next one dose will probably come next year. Meanwhile, the government hopes that the Greek economy will return to… appreciable positive growth rates, which could increase revenues from insurance contributions and thus do not need to cut the main pensions, since it has entered “ceiling “to state funding.


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Public Insurance: See you Great Monday!! https://www.insurancedaily.gr/public-insurance-see-you-great-monday/