Your rights at the National Insurance Institute 2014

Transcription

1 Your rights at the National Insurance Institute 2014 THE NATIONAL INSURANCE INSTITUTE

2 THE NATIONAL INSURANCE INSTITUTE AT YOUR SERVICE Dear Citizens, The National Insurance Institute (NII) accompanies all Israeli citizens from birth until old age and serves as a social safety net for them. Beyond the services provided to every citizen, the NII serves as the long arm of the government by granting rights to those faced with economic hardships, disability, unemployment and other difficulties. The National Insurance Institute is actually the largest organization in Israel, which demands of me, and of the NII s management, a continuous and creative process of improving and simplifying its operations, for the benefit of the citizens. Transparency, accessibility and removing bureaucratic obstacles are our guidelines, all with the objective of providing citizens with quality, available and appropriate responses, as simply as possible. Among other steps, we are improving the dialogue with target populations, particularly with the disabled population, and are acting to move the Appeals Committees out of the National Insurance Institute and into independent organizations. Such steps aim to improve the operation of Israel s most important institute and to transform the service it provides to Israeli citizens to the quality and reliable service they deserve. Sincerely, MK Meir Cohen Minister of Welfare and Social Services Dear Citizens, The National Insurance Institute (NII) is the leading and most professional social security organization in Israel, and its main function is facilitating benefits to those eligible for them under law. The NII provides an economic and social safety net for large segments of the population, such as families with children, the elderly, widows and orphans, and those facing personal crises, such as losing a job, becoming disabled, or being injured at work. Overall, NIS 70 billion in benefits are paid out to the public annually. In addition, the National Insurance Institute operates, through its Rehabilitation Department and its five Funds for service development, vocational rehabilitation programs and social services to special-needs populations. We are making significant efforts to promote social legislation to care for the welfare of all citizens and for a dignified life of the weaker classes, while maintaining a continual dialogue with the public, and trying to uphold the value of mutual responsibility, in the spirit of the words of the Prophet Isaiah, Every one shall help his neighbor and shall say to his brother: Be of good courage (Isaiah 41:6). Our main objectives are to help citizens reach full take-up of rights at the National Insurance Institute and to provide quality services, with sensitivity to all those who need them. We are tirelessly working to improve the service provided at the various local branches, and are opening new service centers in the periphery. At the same time, in an effort to bring services closer to the public, we are developing tools which will reduce the need to personally visit the local branches. We have established a national call center, and operate computerized self-service stations. We have also expanded the services offered on the NII website, such as the possibility of paying insurance contributions online. In this booklet you will find general explanations regarding the conditions of entitlement to benefits from the National Insurance Institute, the obligation to pay national and health insurance contributions, and information on services provided at the local branches and through other service channels. I hope that this information assists you in taking up your rights at the National Insurance Institute, and in receiving speedy and efficient service. Sincerely, Prof Shlomo Mor-Yosef Director General Your rights at the National Insurance Institute 1

3 Table of contents Maternity insurance... 4 Children insurance... 6 Reserve Duty benefit... 7 Grant to discharged soldiers performing vital work... 8 Unemployment insurance... 9 Employees rights following bankruptcy and corporate dissolution Volunteers rights Benefits for victims of hostilities Work injury insurance Disability insurance Mobility allowance Accident injury insurance Vocational rehabilitation Income support benefit Maintenance payments Benefits for a child orphaned by domestic violence Benefits for Prisoners of Zion and families of Martyrs Benefits for Righteous Gentiles Survivors insurance Old age insurance Long-term care insurance Counseling Service for the Elderly Appealing a decision of the National Insurance Institute The National Insurance Institute Funds Payment of national and health insurance contributions International social security conventions National Insurance Institute service channels National Insurance Institute local branches This booklet provides general information only and should not be deemed to be the full or authorized text of the law. Everything stated in the male gender refers to women as well. 2

4 THE NATIONAL INSURANCE INSTITUTE The National Insurance Institute of Israel (NII) is a governmental social security institution that operates under law. Its main function is to ensure a means of subsistence for the residents of Israel who are unable to support themselves. The National Insurance Institute collects insurance contributions from all residents, in accordance with their income and status, and pays benefits to those entitled by law to receive them. The NII is also responsible for collecting health insurance contributions under the State Health Insurance Law and transfers the collected health insurance contributions to the health funds. The NII pays benefits to the unemployed, to women on maternity leave, to the disabled, to people with limited mobility and those who have sustained work injuries, to accident victims, to people serving in military reserve duty, to families with children, to the elderly, to widows and orphans, to those with low incomes, to employees of bankrupt companies, to volunteers, etc. The benefits are intended to provide economic protection to each resident and family in times of temporary or persistent loss of income. By collecting the insurance contributions on the one hand and paying the benefits on the other, income is transferred from economically established groups to weaker or more vulnerable groups. In this manner, the National Insurance Institute contributes to a more equitable distribution of national revenues and to decreasing poverty in Israel. In addition to monetary benefits, the NII provides rehabilitation and vocational training services to the disabled and to widows, and long-term care and advisory services to the elderly. By means of the five Funds that it operates, the National Insurance Institute helps finance projects developing community and institutional services for people with special needs. These funds are utilized to facilitate projects to benefit the disabled, the elderly who require long-term care, disenfranchised youths, children at risk and others. The projects help to integrate these people into the job market and the community. In order to improve its services, the National Insurance Institute has developed computerized information systems that provide access to up-to-date information, such as an Internet website through which extensive up-to-date information can be obtained, including personal information, self-service terminals, automated voice response and passwords for personal identification. These developments enable receiving service and making payments independently, eliminating need to go personally to the local branch. Deer Citizen, This booklet contains general information on the benefits and services provided by the National Insurance Institute pertaining to each one of us at any given point in life. We hope that this important information will help you to exercise your National Insurance rights. Changes are made from time to time in the laws under which the National Insurance Institute pays benefits. Therefore, when enquiring about exercising your rights, please clarify these rights by calling the call center at *6050 or visit the National Insurance Institute website at which contains extensive and up-to-date information. You can also obtain information at the local NII branch closest to your place of residence. Your rights at the National Insurance Institute 3

5 Maternity insurance The main purpose of Maternity insurance is to insure the basic conditions for the welfare of both mother and newborn child, and to compensate working mothers for the loss of income due to pregnancy and birth. Hospitalization grant A payment made by the National Insurance Institute to hospitals for hospitalization expenses of women giving birth. Birth grant Paid to the mother for participation in initial postbirth expenses. The birth grant is paid within a month of the birth into the mother s bank account to which the child allowance is paid or, for a first birth, into the bank account listed at the hospital. Who is entitled to a hospitalization grant and a birth grant? A mother who gave birth in a hospital or was hospitalized immediately after the birth (the birth of a live infant or a birth after 26 weeks of pregnancy), and who is one of the following: An Israeli resident or the wife of an Israeli resident (even if the birth took place outside of Israel); A salaried employee or a self-employed woman who is working in Israel (even if she is not an Israeli resident, provided that the birth took place in Israel); A mother whose spouse has been a salaried employee or self-employed in Israel for at least 6 consecutive months preceding the birth (even if the mother and her spouse are not Israeli residents, provided that the birth took place in Israel). The claim for a hospitalization grant and birth grant (as well as for child allowance) Is sent to the National Insurance Institute via the hospital where the birth occurred. For this reason the birthing mother must bring her and her partner s ID cards to the hospital, and provide the hospital with her bank account information (or that of her joint bank account with her partner). Birth grant amounts as of January 2014: For the first child in a family: NIS 1,751 For the second child in a family: NIS 788 For the third and for every additional child in a family: NIS 525 For twins: NIS 8,757 For triplets: NIS 13,136 A birthing mother who gives birth to more than two children in the same birth is also eligible for a childbirth allowance (details below). Maternity allowance Paid to a working woman on maternity leave, in a lump-sum payment to her bank account. The maternity allowance is designed to compensate the mother for the loss of her salary or income during the time that she is not working due to the pregnancy and birth. Who is entitled to a maternity allowance? A salaried employee or a self-employed woman who is employed in Israel (even if she is not an Israeli resident); A salaried employee who is employed outside of Israel under certain conditions; A woman at least 18 years of age who is undergoing vocational training or vocational rehabilitation under certain conditions. Conditions of entitlement to a maternity allowance If insurance contributions were paid for the mother for 10 of the 14 months, or 15 of the date determining 22 months preceding the (the date on which she stopped working during the pregnancy that ended in the birth) she is entitled to a maternity allowance for 14 weeks. If insurance contributions were paid for her for 6 of the 14 months preceding the determining date (the date on which she stopped working during the pregnancy that ended in the birth) she is entitled to maternity allowance for 7 weeks. The following months are considered months in which insurance contributions were made, provided that they preceded the determining : date Months in which the woman worked and received a salary from her employer (including sick pay and vacation pay), or months in which she had income from self-employment and she paid insurance contributions from that income. Months for which the woman received a maternity allowance (for a previous birth) from the National Insurance Institute, or a work injury allowance or unemployment benefit or accident benefit or pregnancy bed rest benefit or benefit for a 100% work disability. Months for which the woman received sick pay or pay in lieu of annual leave from a provident fund. The first two months of unpaid leave (for which her employer is required to make insurance contributions). Months during which the woman was undergoing vocational training, provided that she worked for at least 30 consecutive days immediately. date determining before the Months of service in the IDF A soldier who terminated her military service and started working under certain conditions. Work during part of a month is considered a full working month Rates of the maternity allowance 100% of taxable income after deducting income tax, nationa and health insurance contributions, up to the maximum maternity allowance (in January 2014 NIS 1, per day for women employed or self-employed). Extending the maternity leave A birthing mother is eligible to extend or split a maternity leave following a multi-fetal birth (more than one child), or following her or her infant s hospitalization for a period of at least 15 days. The birthing mother must notify the National Insurance Institute of the extension or split as soon as possible. Additional information is available on the NII website. How do you obtain a maternity allowance? Fill in the claim form for maternity allowance NI/355 and deliver it to your local NII branch. Claim forms can be obtained at any local NII branch or downloaded from the National Insurance Institute website and then mailed or faxed. Salaried employees can obtain the form from their employer. 4

6 Self-employed women or salaried employees whose employer has arranged with the National Insurance Institute to have maternity allowance be automatically paid do not need to file the claim. A birthing mother who has received unemployment benefits a month prior to giving birth, and birthing mothers who received risk pregnancy benefit during pregnancy a week prior to giving birth will receive the maternity allowance automatically and do not need to file the claim. The form can be delivered to the National Insurance Institute once work is halted, but no earlier than 9 weeks prior to the estimated delivery date (if you are delivering this form prior to giving birth, ask your physician to confirm the estimated delivery date on the form). The last date on which the claim can be filed is 12 months from the date of the birthing mother s eligibility for a maternity allowance. A birthing mother who works during her maternity leave may lose her eligibility for maternity allowance. Paternity allowance A father is permitted to replace his partner for some of the maternity leave 6 weeks after birth, and for at least 21 consecutive days, on the condition that both he and his partner have accrued an insurance period that makes them eligible for a maternity allowance. Claim form NI/360 can be downloaded from the National Insurance Institute website. A birthing mother who, for medical reasons, is unable to care for her an infant can be replaced by her partner at any time during the maternity leave, provided he too meets the conditions for eligibility. A biological father who is a single parent may claim paternity allowance under certain conditions. Vacation pay for adopting parents Are paid to employees or self-employed persons who have adopted a child younger than 10 years old and who have halted their employment for the adoption, if their insurance period makes them eligible for a maternity allowance. Additional details and claims form NI/356 can be found at the National Insurance Institute website. Vacation pay for a foster family Are paid to employed or self-employed persons who have begun caring for a foster child younger than 10 years old for a period of over 6 months and who have halted their employment for the purpose of caring for the child, if their insurance period makes them eligible for a maternity allowance. Additional details and claims form NI/356 can be found at the National Insurance Institute website. Childbirth allowance A childbirth allowance is a payment to a mother who gives birth to three or more infants in one birth, and at least three of the infants survive for 30 days after the birth. The mother is entitled to a childbirth allowance if she is entitled to a hospitalization grant and a birth grant. Childbirth allowances are paid for the period between the 1st of the month following the birth and 20 months following this date. For every one of these months allowances are paid according to the number of children alive on the 1st of that month, with the amount of the benefits gradually decreasing throughout the eligibility period. Details on the allowance amounts can be found at the National Insurance Institute website. The allowance is paid automatically to the bank account receiving the child allowance, and there is no need to file a claim. Payments for a child whose mother has passed away If a birthing mother passed away during childbirth or within one year following the date of birth, a special benefit will be paid for the child, provided the birthing mother was eligible for a birth grant and/or a childbirth allowance and/or a maternity allowance. Two types of payments are made for a child whose mother has passed away: Special allowance Paid to a partner or legal guardian for every child born in the same birth and present in Israel. The allowance is paid for 24 months, and if survivors pension or dependents pension are paid for the child for 12 months. The amount of the allowance for one child as of January 2014 NIS 2,727 a month. Special benefit Paid to the birthing mother s partner if he halted his employment as a result of her passing away for the purposes of caring for the child. The benefit (relative to the amount of the spouse s salary) is paid for a maximum of 12 weeks from the end of the seven days of mourning, and only if the rate per day exceeds the rate of the special benefit. The special benefit is not paid during the time that the special allowance is paid. A claim for special allowance and special benefit File form NI/380 at a NII local branch. The form can be downloaded from the National Insurance Institute website. Participation in the costs of transporting a birthing mother in an ambulance The National Insurance Institute participates in the cost of transporting a birthing mother in a Magen David Adom ambulance to the hospital. Details can be found at the National Insurance Institute website. Pregnancy bed rest benefit Paid to an employed woman who was forced to halt her work during the pregnancy because of health risks to her or the fetus as a result of the pregnancy; or in case in which the work environment puts the woman or the fetus at risk, and her employer was unable to find her a different position. The benefit is designed to compensate the woman for the loss of her salary during the period of the bed rest. Benefit rates A woman s average income in the three months prior to the Pregnancy bed rest, but no more than NIS per day, as of January Condition of entitlement to the benefit The expectant mother must be a resident of Israel, a salaried employee or self-employed for whom insurance contributions have been paid for at least 6 of the 14 months that preceded the determining date (the date on which she stopped working due to pregnancy bed rest). For months that are considered months in which insurance contributions were paid see maternity allowance The expectant mother was confined to pregnancy bed rest as authorized by an obstetriciangynecologist, for at least 30 consecutive days. If she required an additional period of bed rest, at least 14 consecutive days in each additional period. A specialist doctor on behalf of the National Insurance Institute has approved her claim for pregnancy bed rest benefit. She is not receiving payment for the period of pregnancy bed rest from any other source. Filing a claim for pregnancy bed rest benefit Must be filed at the local NII branch, on form for Enforced Bed-rest NI/330. Claim forms can be obtained at any NII local branch and on the NII website. Medical certification to be filled out by an obstetrician-gynecologist is attached to the form. The last date for submitting the claim form, accompanied by the medical certificate, is 12 months from the date of the beginning of the mother s entitlement to a maternity allowance. Payment of differentials on the maternity allowance, pregnancy bed rest benefit and adoption benefit Employed women who have received a maternity allowance, pregnancy bed rest benefit or an adoption allowance may be eligible to receive the differences between the benefits she has received, if within 11 months of the date of eligibility for a maternity allowance, adoption allowance or pregnancy bed rest benefit she has received an additional payment from her employer, such as convalescence pay, a clothing benefit or a bonus which exceeds one quarter of her regular monthly salary, or if she has received salary differences for a period prior to the maternity leave. A father who takes paternity leave is also entitled to payment of the differentials on the benefit. To check eligibility for the differentials, the mother must submit a claim for payment of differentials to the Maternity Department at the local NII branch closest to her place of residence, along with a salary slip showing the additional payment that was made. The claim must be submitted within 12 months from the first date of entitlement to a maternity allowance. Your rights at the National Insurance Institute 5

7 Children insurance The National Insurance Institute pays a child allowance to every Israeli resident for every one of his children until they reach the age of 18. Child allowance The monthly child allowance is paid on the 20th of each month, into the bank account of the mother or into the joint bank account of the mother and her spouse. The allowance is paid according to the number of children in the family. Who is entitled to a child allowance? An insured Israeli resident (and a person living in Israel under special conditions) who has one or more children; A child who immigrated to Israel without his parents; A person who is caring for a child that is not his own child, provided that he was appointed as legal guardian or as the recipient of the allowance. Conditions of entitlement to the child allowance The allowance is paid for children under the age of 18, who are present in Israel. For a child staying overseas the allowance will be paid for the first 3 months of the overseas stay. After 3 months the allowance is paid in the following cases: one of the parents was sent overseas by an Israeli employer or is on sabbatical or working for an Israeli employer overseas, the family is staying overseas as a result of medical treatment that cannot be received in Israel given to one of the family members. A person who is caring for a child that is not his own child receives the allowance, provided that he was appointed as guardian or as the recipient of the allowance, and provided that he has supported the child for at least the last 12 months. The period of entitlement If a child is born in, or immigrates to, Israel before the 15th of the month, the allowance is paid for that month and thereafter. If a child is born in, or immigrates to, Israel on the 16th of the month or later, the allowance is paid as of the first of the following month. Entitlement to the allowance concludes at the end of the month in which the child reaches the age of 18. Claim for a child allowance Upon the first birth, the claim will be filed through the hospital the child was born in. For that purpose, the mother must bring both her own ID card and her spouse s ID card to the hospital, along with the number of her bank account. In all subsequent births, the information is automatically delivered from the hospital. In births occurring outside a hospital or in cases of a returning resident with children, a claim must be filed for a child allowance. If the Insured or allowance recipient has outstanding payments to the National Insurance Institute, the National Insurance Institute is permitted to deduct the amount owed from the allowance until the debt is paid in full. Child allowance amounts as of January 2014 (NIS): For children born up to May 31, 2003: Child s place Amount of in family allowance (NIS) First 140 Second 140 Third 172 Fourth 336 Fifth and thereafter 354 For children born on June 1st, 2003 and onwards, a NIS 140 benefit per child is paid. Beneficiaries of income support benefit, alimony, child support, old-age pension with income supplement, survivors pension with income supplement For the third and fourth child, an additional NIS 98 for every child is paid. To find out the amount of child allowance you may use the calculator on the National Insurance Institute website. Late submission of claim If you have not filed the claim for child allowance on time, the National Insurance Institute may approve your claim for a year retroactive to the day the claim was filed on. If the child was born after July 1, 2003, and was not registered in the Population Registry within 30 days of the date of the birth, the allowance will be paid retroactively for up to 3 months only. Study grant Paid by the National Insurance Institute once a year in August, for the types of families listed below who receive a child allowance. The grant is paid for every child aged Eligible for the study grant are: families in which a parent is divorced, a widow/er or single, receives an income support benefit separately from his/her spouse and, in certain conditions, a parent who is living apart from his/her spouse, an aguna (a married woman whose husband s whereabouts are unknown) and a woman living in a shelter for battered women. Also eligible for the study grant are families with 4 or more children, provided that one of the parents receives one of the following benefits from the National Insurance Institute in the month of July or August of every school year: income support benefit, alimony, general disability pension, old age or survivors pension. Also eligible to receive the study grant are orphaned or abandoned children who are receiving an income support benefit, children orphaned of both parents, new immigrants who immigrated without their parents as well as new immigrants who came to the country over a year ago but less than two years ago, and their partner did not immigrate and is not staying in the country. Amount of the grant as of August 2013: For a child 6-11 years of age (grades 1-5): NIS 1,528. For a child years of age (grades 6-8): NIS 849. More information on the grant and claims form NI/5015 can be found on the National Insurance Institute website. 6

8 Reserve Duty benefits Anyone called up for reserve duty under the Defense Service Law or anyone called up for training under the Emergency Labor Service Law is entitled to the reserve duty benefit. To obtain this benefit, IDF certification of the days of service must be submitted on form number Reserve duty benefit For a salaried employee and a self-employed worker A benefit at the rate of income (subject to insurance contributions) in the three months preceding the month of commencement of reserve duty, with the addition of the cost-ofliving allowance, divided by 90. In special cases, reservists are entitled to benefit calculation according to other salary months. The benefit may not be less than the minimum and not exceed the maximum (see below). Self-employed workers, students, the unemployed and anyone who is not working should claim the benefit from the National Insurance Institute. Persons receiving unemployment benefits who served in active reservist duty during the period they were receiving unemployment benefits receive their compensation automatically and do not need to file a claim. Filing an online personal claim on the website Reservists on active duty who are registered with the National Insurance Institute as self-employed, not working, students and yeshiva students may file for reserve duty benefit via the self-service website as well. The service is provided using a code and password, which can be requested through the website or at a local NII branch. The National Insurance Institute pays reserve duty benefit to any person called for reserve duty by the National Service Law, as well as those called for training by the Work Service in time of Emergency Law. Maximum benefit for a salaried employee and a self-employed worker: as of January 2014 NIS 1, per day, NIS 43,240 per month. Minimum benefit for a salaried employee and a self-employed worker: as of January 2014 NIS per day, NIS 5,881 per month. Claim for reserve duty benefit A claim for a reserve duty benefit should be submitted at the end of the service, at one of the local NII branches convenient to the claimant, along with IDF certification form no The claim form can be downloaded from the National Insurance Institute website and sent in by mail or fax. Call center for reservist-duty related matters: The National Insurance Institute operates an automatic call center for reservists filing their claims personally, and for employers paying out the compensation for their reservist employees. The call center provides general information on rights and obligations, forms for filing claims, a simulator for calculating compensation, and more. Salaried employees who earn a monthly wage, as well as salaried employees who do not receive a monthly wage, who worked during the three months that proceeded the reserve duty service at least 75 days, for one employer or in one place of employment, must claim the benefit from their employers. Your rights at the National Insurance Institute 7

9 Grant to discharged soldiers performing vital work Grants to discharged soldiers who perform work that is vital to the State economy Grant for vital work and grant for priority work Under the National Insurance Law a one-time grant is paid to soldiers discharged from compulsory military service, or for those completing National Service of 24 months, who have worked at a job defined by law as a job in demand: at industrial factories and workshops, at construction sites, at gas stations, at hotels, at agricultural sites and packaging houses, as well as in caring and assisting disabled people except for office jobs in these fields. Discharged soldiers, members of kibbutzim or cooperative moshavim who worked in vital jobs, in or outside a kibbutz or cooperative moshav, are also entitled to the grant. Who is entitled to the grant? The grant is paid to those who meet the following conditions: A person who worked for at least 6 full months (not necessarily consecutive) within the 24 months from the date of discharge from compulsory service. The job must be full time, as customary at that work place.in accordance with the common practices of the field in which they are employed. In the agricultural field it is possible to work at least 4 full months, and receive a partial grant. Start of the work within 12 months from the date of discharge (or during the second year, if the discharged soldier was entitled to an unemployment benefit on the date of commencement work). Benefit rates The full grant amount as of December 2013 NIS 9,550. The partial agricultural grant amount NIS 6,367. For those who received an unemployment benefit during the 11 months that preceded the start of the vital work, the unemployment benefit that was received is deducted from the amount of the grant that is due. In certain cases, a soldier is entitled to a partial grant. Submitting the claim for the grant The claim for the grant must be filed with the National Insurance Institute after at least 6 full months of employment, and no later than 42 months from the date of discharge from compulsory military service. Certification of the place of work, the type of work and the period worked must be attached, noting the number of workdays in each month. The claim form NI/1521 can be downloaded from the National Insurance Institute website and sent in by mail or fax. 8

10 Unemployment Insurance Unemployment insurance is designed to provide those who are out of work not by choice with a replacement for their salaries, for a limited period of time, to enable them to seek suitable employment. Unemployment benefits Who is insured for unemployment benefits? An Israeli resident or temporary resident, aged 18 to 67 who worked as a salaried employee or a soldier discharged from compulsory army service in the first year after being discharged. Unemployment benefits are paid to an unemployed person age 45 or older, or age 35 or older who has at least 3 dependents* for a maximum of 175 days; to an unemployed person age 35 or older, or under age 35 who has 3 dependents for a maximum of 138 days; to an unemployed person from age 28 to age 35, who does not have 3 dependents for a maximum of 100 days; to an unemployed person from age 25 to age 28, who does not have 3 dependents for a maximum of 67 days; to an unemployed person under the age of 25 who does not have 3 dependents for a maximum of 50 days; to a discharged soldier or a young woman who completed National Service for a maximum of 70 days. *A partner who does not work and a child under 18 years old Conditions of entitlement to unemployment benefits 1. Age least 20 years old and not yet 67, and in certain conditions also those aged Completion of a qualifying period" (insurance period) for those unemployed since April 1st, 2013*) 12 months for which insurance contributions were paid, out of the 18 months that preceded the start of the unemployment. Discharged soldiers and those who completed 24 months of National Service need to accrue a qualification period any unemployed person, as detailed above. However, in totaling the number of qualifying months, up to 6 months of compulsory military service or National Service are taken into account. If they were referred to vocational training by the Employment Service, they are exempt from accruing a qualifying period in the first year after the discharge or volunteering. 3. You are unemployed You are registered with the Employment Service Bureau, are prepared and able to work in your profession or in any other suitable work, and the Employment Service Bureau has not offered you work, as stated. * information on the qualifying period prior to April 1st, 2013 can be found at the National Insurance Institute website. Unemployment benefit rates The daily unemployment benefit is calculated as a percentage of one s average daily wage in the 6 months prior to the 1st of the month in which the unemployment period commenced. The daily sum of unemployment benefits for the first five months may not exceed the average daily salary in the economy (as of January 2014 NIS a day), and from the sixth month may not exceed 2/3 of the average daily salary in the economy (as of January 2014 NIS a day). Unemployment benefits for discharged soldiers may not be lower than the amount mandated by law for soldiers NIS a day as of January For the first 5 days of unemployment in each 4 consecutive months, no unemployment benefit is paid. Unemployment benefits and grants for the unemployed who are referred to a low-paying job An unemployed person who the Employment Service has referred to a job with lower wages than the unemployment benefits they are entitled to will be eligible for a grant amounting to the difference between the unemployment benefits they would have received and half the wages at the low wage job, provided they have worked at this job for at least 25 days at 50% position at least. The grant is paid for no more than 100 working days. Unemployment benefits for participants in vocational training A person eligible for unemployment benefits who the Employment Service has referred to a vocational training course and has begun their studies will still eligible to receive unemployment benefits for the days needed to complete the maximum unemployment period they are entitled to. The unemployment benefit is 70% of the unemployment benefit to which he would have been entitled had he been unemployed and not taking the course. Despite the aforementioned: 1. A person undergoing vocational training who is younger than 35 years old and has less than 12 years of education will be entitled to unemployment benefits during his studies, including for periods longer than the maximum unemployment days they are eligible for, but no more than 138 days. 2. Two types of training have been set for which full unemployment benefits will be paid. Information on this training can be found on the National Insurance Institute website. A person who voluntarily terminates his employment, without justification, will begin to receive the unemployment benefit only 90 days after quitting the job. A person to who refuses a suitable job offer will begin to receive unemployment benefits only 90 days after the date of the refusal, and 30 days will be deducted from the maximal number of days due to him each time that he refuses to accept a job. Filing a claim for unemployment benefits To receive unemployment benefits for the first time you must file a claim with your local NII branch. Claim form NI/1500 can be downloaded from the National Insurance Institute website and then mailed or faxed. Repeat claim for unemployment benefits can be filed only 12 months after the commencement of the previous eligibility period. Unemployed persons who have not yet turned 40 and are filing more than one claim for unemployment within 4 years will receive benefits for all their unemployment claims for a maximum period of 180% of the maximum number days (as detailed at the beginning of the chapter). Total unemployment benefit amounts during the additional period may not exceed 85% of the maximum unemployment benefit amount. Your rights at the National Insurance Institute 9

11 Employees Rights Following Bankruptcy and Corporate Dissolution Those entitled to the benefit An employee whose employer has filed for bankruptcy or an employee whose employer is subject to a dissolution order (if the employer is a corporation); The employee s survivors who are entitled to severance pay under Section 5 of the Severance Pay Law; A provident fund, if the employer is in debt to the provident fund in which the worker is insured. Those not entitled to the benefit A self-employed worker or controlling shareholder in a company who holds the majority of the company s shares, who did not have an employeremployee relationship with the company. Controlling shareholders in a close corporation and foreign workers and workers from the Territories who are staying in Israel illegally. Conditions of entitlement The court has issued a declaration of bankruptcy order or an order to dissolve a company, to dissolve a partnership, or to dissolve a cooperative. The details of the employee s claim have been approved by the trustee of the bankrupt entity or the company s liquidator. The Benefits For the worker Any wages and severance pay owed to the employee by the employer on the date on which employment was halted, up to the maximum amount designated by the National Insurance Law. Anyone whose employer has been issued a dissolution or bankruptcy injunction before July 31st, 2009, the maximum amount to be paid is NIS 86,480 (as of January 2014); anyone whose employer was issued the injunction on August 1st, 2009 or later, the maximum amount to be paid is NIS 112,424 (as of January 2014). For survivors Any wages they are entitled to according to section 7 of the Wages Protection Law, and any severance pay they are entitled to according to section 5 of the Severance Pay Law, up to the maximum defined in the National Insurance Law. For provident funds Payments not transferred, from the employee s or employer s funds, or both, up to the maximum defined in the National Insurance Law (as of January 2014 NIS 17,296). A salaried employee whose employer has filed for bankruptcy or an employee of a company that was dissolved is entitled to payment of the salary and severance pay owed by the employer. For a member of a cooperative Anyone who was a member of a cooperative moshav or kibbutz for at least 7 years up to the maximum defined by law (as of January 2014 NIS 69,184). Claims forms for the various benefits can be downloaded from the National Insurance Institute website and then sent via mail or fax. Volunteers Rights A volunteer Is a person who volunteers for the benefit of others without pay, who was referred by a qualified public institution, whose activities are performed for national or public benefit; a person who performs security obligations as mandated by law, without pay and outside the framework of IDF service; a person who provides assistance to others as obligated by law or performs an act to save the lives or property of others; a person who performs community work or service under the Penal Law; a volunteer at Magen David Adom, or a first aid organization, or an organization for the prevention of bodily injury or property damage, or an organization for the care of the sick or people who cannot care for themselves, or a burial organization, provided that the organization is approved by the Minister of Welfare ; volunteer fire fighters; a person performing civil service as defined in the law that defers military service for yeshiva students. Amount of the payment Total compensation for a volunteer is equal to the amounts paid for work injured. However, a volunteer who had not worked prior to volunteering, or whose income was low receives compensation totaling NIS a day. How to submit the claim Claims must be filed at the local NII branch within 12 months of the date of injury. Claims forms can be obtained at any National Insurance Institute branch or downloaded from the National Insurance Institute website and then sent by mail or fax. A volunteer who was injured during and as a result of volunteering activities, including injury on the way to or from the place of volunteering, as well as the dependents of a volunteer who passed away as a result of an injury under these circumstances, may receive benefits as described in the Work Injury Insurance chapter and according to the conditions of entitlement described there. 10

12 Benefits for Victims of Hostilities The Benefits for Victims of Hostilities Law of 1970 provides victims of hostilities and their families with rights to benefits, rehabilitation and grants. Who is entitled to benefits for victims of hostilities? A resident of Israel who was injured during hostilities in Israel or abroad; an Israeli citizen or a person who entered Israel legally and was injured by an act of hostility in Israel; a foreign resident who was injured by an act of hostility abroad during and as a result of his/her employment by an Israeli employer (approved for this matter). an injury due to an injury Hostile action act of hostility by enemy forces, or an accidental injury by a person due to hostile action by enemy forces or under circumstances in which there was reasonable fear of hostile action, an injury caused by a weapon that was intended for hostile action or against it, and an injury caused by an act of violence whose main objective was to injure people because they belong to a national-ethnic group, provided that it stems from the Israeli-Arab conflict and was committed by a terrorist organization all contingent upon confirmation by the authority appointed by the Ministry of Defense that the injury is a hostile action injury. Benefits for Victims of Hostilities Benefits during medical treatment A victim of a hostile action who is not capable of working due to medical treatment is eligible for a special benefit during the period of medical treatment, if he/she does not receive salary or compensation for this period. Filing a claim for the recognition of a hostile injury and receiving medical treatment compensation must be filed on form NI/580 at the local NII branch within 12 months of the date of injury. The claim form can be downloaded from the National Insurance Institute website and then mailed or faxed. Monthly disability benefit Paid to a person disabled by a hostile action injury, for whom a disability of 20% or more has been established. The rate of the benefit is determined by the degree of disability. A person with a 100% disability receives a benefit at the rate of 118% of the salary of a grade 17 civil servant, according to the administrative ranking. The benefit for a person disabled by a hostile action is equal to the benefit paid to a disabled IDF veteran under the Disabled Persons (Benefits and Rehabilitation) Law. A person for whom a permanent 10%-19% degree of disability was established is paid a lump-sum grant. Claiming for determining the degree of disability and for payment of a monthly disability benefit File with the National Insurance Institute on form NI/581, within 12 months of the date on which the victim received compensation for medical care. The claim form can be downloaded from the National Insurance Institute website and then sent in by mail or fax. Special benefits Increased benefits are paid to the Needy Disabled and Income-less Disabled. A disabled person who took early retirement from work and is no longer fit to work, and is over 50 years old and whose disability level is 35% and up, is eligible, under certain conditions, for a special increment. Pensions for families of fatalities Monthly dependents pensions Paid to widows, bereaved parents and orphans of a person who died as a result of hostile action. The benefit is equivalent to the benefit paid under the Families of Soldiers Killed in Action Law. Claim for benefit for families of deceased victims File form NI/582 at the deceased s local NII branch within 12 months of the date of passing. The claims form can be downloaded from the National Insurance Institute website and then sent in by mail or fax. Non-cash benefits and special benefits Treatment, hospitalization, recuperation, medical equipment, vocational rehabilitation and special benefits, such as loans and grants for housing, assistance in purchasing a vehicle and its monthly maintenance, payment for personal services, etc. Vocational rehabilitation and special benefits are provided also to widows, orphans and bereaved parents. For receiving benefits, contact the Rehabilitation Department at your local NII branch. Vocational rehabilitation A victim of an hostility action for which at least a 20% disability level has been determined, as well as widows and orphans of fatalities of hostility actions, may be entitled to vocational rehabilitation from the National Insurance Institute. For additional information see the Vocational Rehabilitation chapter. Your rights at the National Insurance Institute 11

13 Work Injury Insurance Who is insured? A salaried employee; a self-employed worker; a person undergoing vocational rehabilitation or vocational training; a person being examined according to the Apprenticeship Law or the Employment Service Law (only during the examination); a working prisoner; a foreign resident employed in Israel by an Israeli employer; a resident of Israel abroad, under certain conditions; and a person whose salary is determined by law (Member of Knesset, etc.). Who is entitled to a work injury benefit? An insured who is injured at work (by a work injury or an occupational disease), and dependents of an insured who died as a result of a work injury (widow/er, orphans, parents and other family members under special circumstances). A work accident is an accident that occurs during and due to work, including an accident en route to and from work, and an accident in the circumstances specified in the law. An occupational disease is a disease that an insured contracted due to his work, which appears on the list of occupational diseases specified in the law. A self-employed worker who owes insurance contributions will be denied the right to a benefit, or a reduced benefit will be paid to him (according to the amount of the debt and duration of the arrears). Work Injury Benefits Medical treatment Therapy, recuperation and medical rehabilitation through the health funds. Injury allowance Payment for absence from work, for a period of up to 91 days from the day after the date of injury. Injury allowances are paid to those injured at work or afflicted with an occupation disease and as a result cannot perform their job or any other suitable job and was not working at the time, and requires medical treatment. No injury allowance is paid for the day of the injury; however, the salary for that day is paid by the employer. No injury allowance is paid for the two days after the day of the injury, unless the injured person is unable to work for 12 or more days. An injury allowance for the first 12 days of entitlement is not paid to self-employed workers. Salaried employees are paid the full injury allowance and employers, except for employers of household cleaning workers, are required to reimburse the National Insurance Institute for the first 12 days, Amount of the payment per day 75% of wages (which is owed insurance contributions) during the three months prior to the injury divided by 90, and up to the maximum daily allowance (as of January 2014 NIS 1,094.63). Claim for payment of injury allowance and notification of a work injury Must be filed within 12 months of the day of injury, using form NI/211, with the local NII branch, along with a first-aid document on the injury, which is given at the health fund or hospital. The claim form can be downloaded from the National Insurance Institute website and then sent in by mail or fax. Work disability benefits Work disability pension Anyone with a temporary work disability level of at least 9% or with a permanent work disability level of at least 20% receives pension according to the medical disability level pro-rated to wages earned over the three months prior to the injury (as of January 2014 the maximum monthly benefit is NIS 32,839 for the employed and self-employed). Work Injury insurance is designed to compensate the insured for loss of income due to a work injury, and to help him to get back into the job market with the help of vocational rehabilitation. Low-income recipients of a work disability benefit receive an income supplement as well. Claiming work disability pension Must be filed as soon as possible on form NI/200, with the local NII branch. The claims form can be downloaded from the National Insurance Institute website and sent in by mail or fax. Insured persons who file a claim for work-related disability pensions will be summoned to a medical board. The committee determines whether or not the disability is the result of a work injury as well as the degree of the disability. Work disability grant Those with a permanent work disability of at least 9%, but lower than 20% receive a one-time grant derived by multiplying the monthly benefit by 43. If the claim is submitted more than 12 months late, a reduced grant is paid in proportion to the lateness of the submission. Special pension Paid to anyone disabled who requires assistance in performing basic activities, and who have a permanent disability level of at least 75%; or anyone with a permanent disability level of 65-74%, with difficulties walking for assisting with personal care and covering special expenses resulting from the recognized disability. To receive the pension, a claim must be filed with the Rehabilitation Department on form NI/266, which can be downloaded from the website and then mailed or faxed. The process of claim approval includes an examination of level of dependence, performed by a nurse at the claimant s home, as well as confirmation from an organizational doctor. The amount of the special pension is determined according to the assistance required, according to 4 levels of assistance. The maximum total benefit as of January 2014 NIS 8,