The subjects of compulsory pension insurance: list, definition and features

Compulsory insurance of pension payments pursues several goals and objectives, the main of which is the implementation of insurance protection of the rights and interests of citizens.

General definition

The concept of compulsory pension insurance is a reimbursement to citizens of the Russian Federation of any types of earnings that he had previously, before the retirement age.

As for foreigners, the subjects of compulsory pension insurance are foreign citizens who do not have a permanent residence permit, as well as stateless persons temporarily residing in the territory of the Russian Federation.

Contributions for compulsory insurance of pension savings are charged at the rates established by law and amount to 22%. This amount is divided into 2 parts:

1. Jointly. The part of the contribution that forms the insurance pension, which is fixed.
2. Individual. Cash flows to the ILS. She is responsible for the size of future payments, including funded pension.

Who are the subjects of compulsory pension insurance:

1. Persons insured.
2. Insurers for assessing contributions.
3. An insurer listing pension benefits.

The concept of compulsory pension insurance and the subjects of this system of legal, economic and organizational measures created the state to ensure the protection of citizens upon exit not retiring.

Accumulation components

Contributions for compulsory insurance of pension savings are charged at the rates established by law and amount to 22%. This amount is divided into two parts:

1. Joint This is the part of the contribution that is directed to the formation of an insurance pension, which is fixed.
2. Individual. Money is credited to an individual personal account. This part is responsible for the size of future payments, including funded pension.

Features of pension savings

So, the pension consists of an insurance and funded share. Let's look at both types in more detail.

A similar type of pension may also be accrued to family members of the subject of compulsory pension insurance, recognized as incapable of work, if at the time of death he was paid insurance pension contributions.

The legislation distinguishes several types of insurance pensions. These include:

• In old age, that is, when the insured person reaches retirement age equal in our country to 60 years for men and 55 years for women. Moreover, a citizen must have at least a minimum length of service and the number of pension points.

• By disability. Appointed upon provision of a confirmed disability group of category 1, 2 or 3.
• In case of loss of the breadwinner. It is paid to the dependents of the deceased insured person of incapable age.

Insurance pension: to whom and how much?

It is also envisaged to assign an insurance pension until the required age is reached by the subject of compulsory pension insurance. This happens if the insured has a special experience in the required quantity. The law provides a detailed list of such cases. The insurance pension is paid in a fixed form and is indexed by the state every year.

A funded pension is a monthly payment of pension savings, which partially consists of the contributions of the insured person, as well as income from investing funds.6% of the above 22 percent of the tariff are contributions that employers transfer to form the funded share of the pension.

This funded system works for citizens who were born after 1967. Those born earlier also have pension accumulations, however, this applies to citizens who were employed in the period from 2002 to 2004. As a rule, this is not enough for monthly payments, however, it is possible to receive the accumulated funds at a time after retirement.

Pension Insurance Entities

As was said at the beginning of the article, the subjects of compulsory pension insurance are:

1. Insurer. The main one is the Pension Fund, all of its branches in the regions. Non-state pension funds are also included in this group.
2. Policyholders. These are organizations, the population, self-supporting themselves with labor activity, individual entrepreneurs and all other categories of people who transfer contributions to the FIU.
3. Insured persons. Direct participants in the system of compulsory insurance of pension savings.

Rights and obligations of the insurer

Consider the rights and obligations of each subject of mandatory pension insurance. So, the insurer has the right:

1. Carry out checks on the documentation of policyholders, and if violations are discovered, require their immediate elimination.
2. To exchange information with tax authorities.
3. Determine the budget of the Pension Fund.

The obligations of the insurer is the recount, appointment and payment of pension insurance and funded compensation. The state is the guarantor of the fulfillment of all the obligations of the Pension Fund undertaken by it to the insured.

Rights and obligations of the insured

The rights of policyholders include the following:

1. Transfer of contributions to employee accounts in order to form the funded part of the pension.
2. Participation of the subject of mandatory pension insurance in the control of their savings.
3. Getting free consulting support from the insurer, including any questions about its activities.
4. Protection of the rights of the insured in court.

The main responsibility of the policyholder is to comply with all the rules and regulations of registration in the FIU and timely payment of the necessary payments.

Rights and obligations of the insured

Also, the range of rights and obligations of subjects of compulsory pension insurance, such as insured persons:

1. Implementation of the program of compulsory insurance of pension savings in full and in proper quality, including at the expense of PFR.
2. Obtaining the fullness of information on the payment of insurance contributions by the employer.
3. Disposal of their own savings at their discretion.

The obligation of the insured person is to provide the necessary package of documents to the insurer. They should contain reliable information, according to which the future pension will be calculated. If the information changes, the insured person is obliged to inform the insurer about this.

Insurance Features

Another obligation of the insured is registration with the FIU. The Law on Compulsory Pension Insurance contains a detailed list of all possible policyholders. Registration of the insurer must occur no later than three business days after all the necessary documents have been submitted. After registration, a document is issued that confirms the right of the insured to conduct activities.

There is such a thing as compulsory provision of pension payments. It assumes that the state will make the following payments in any economic and social situation in the country:

1. The insurance share of the pension, including payments for loss of breadwinner or disability.
2. The fixed portion of the insurance pension payment.
3. The cumulative part of pension payments. This includes the urgent and lump-sum payment of pension savings, including the successors of the insured in the event of his death.
4. A lump sum payment for the burial of a deceased pensioner.

Compulsory insurance payments are made through the budget funds of the Pension Fund.

There is also such a thing as a system of individual accounting in the pension sector. It consists in the fact that each insured person is recorded for the purpose of exercising his rights to receive pension payments. This system is supported and implemented by the Pension Fund.

An individual account is opened for each insured person, which consists of three parts:

1. The total. Includes personalized information about the insured person, including data on wages and periods of work.
2. Special. It contains information on all contributions made by the employer in order to form the funded part of the employee's pension.
3. Professional. This includes data on the length of service, the amount of payments made, as well as information on persons who are eligible for premature retirement benefits.

An individual account is assigned a unique number that is identical to SNILS. You can get information about your account using your personal account on the PFR website or through the government services portal. Let us recall once again who are the subjects of compulsory pension insurance - these are federal government bodies, policyholders, insurer and insured persons. The system of compulsory pension insurance was developed by the state to make payments of pension savings of citizens. Thanks to the unified accounting system, it turns out to monitor the implementation of the rights of each insured person. Successfully, this system will work only if all insurance entities comply with their rights and obligations, as well as the requirements and legislation regarding pension payments.