There is a wide range of benefits to be gained by contributors to the National Insurance Scheme (NIS).

The scheme is funded by taxpayers through compulsory NIS payments and it is the source through which pensions and other benefits are paid. All persons between the ages of 18 and 70, who earn an income, are required to be registered with the NIS. The insurable population includes employed persons, self-employed and voluntary contributors.

Speaking in a recent interview, director of the NIS in the Ministry of Labour and Social Security (MLSS), Portia Magnus, stated that individuals who are eligible to receive a pension are contributors in the first instance, as long as they satisfy the eligibility criteria and their next of kin for survivor benefits.

She said most Jamaicans are familiar with retirement pension, but there are other types that are available. The types of benefits that are accessible under the NIS include: invalidity, employment
injury disablement, adult survivor pension for widows/widowers and for children, the special
children pension or Orphan pension.

Magnus highlighted that despite the public’s perception that pension is usually applicable to the elderly, other benefits may become payable to any person depending on what happened to them during their worklife or even as children.

For example, a child younger than 18 years who has lost both parents, can access a survivor benefit, and a young widow/widower can also access benefits. A special child benefit is also payable to the guardian of a child or children under the age of 18 whose mother was the primary caregiver (and was a NIS contributor), who is deceased, and the father’s identity is unknown.

There is also a benefit payable to a contributor who has been rendered unable to work via illness, who is not near retirement age.

“What is important to note is, once an individual is qualified to be awarded a pension (a
benefit that is payable for life) from the NIS, they also qualify to access health insurance,”
Magnus said.

In addition, a one-time grant payment is also awarded when the contribution conditions for a pension are not satisfied. This grant is payable in the categories of retirement, widow/widower, special child, orphan and invalidity. “NIS is a social insurance programme, so it is much more than offering a retirement pension,” Magnus reiterated.

In order to qualify for NIS benefits, a person must submit a completed application form along with supporting documents, such as a valid ID, proof of age, are submitted to the National Insurance Division of the Ministry of Labour and Social Security.

“Persons can become eligible for a retirement pension from the NIS once they complete the necessary registration process and begin making contributions to the scheme. This applies to both employed and self-employed individuals,” Magnus said.

After this, the applicant is given an NIS number, which remains valid their entire working life or even if they become self-employed subsequent to applying while they were an employee.

Magnus stressed that contributions must be made regularly to ensure qualification for the benefits offered by the scheme. She pointed out that an average system is used to determine qualification for a pension. At the lowest rate, an average of 10 weeks’ contribution must be made during the insurable period. The insurable period covers persons from they are eligible to begin contributing at 18 up to when the individual becomes eligible to be paid the retirement pension.

A person will qualify for the retirement pension at 65 years old but if they continue to work beyond 65 years, they will continue to contribute until 70 years old or until they discontinue working.

The National Insurance Scheme is administered under the National Insurance Act and offers some financial protection to the worker and his/her family against loss of income arising from injury on the job, sickness, retirement and/or death of the breadwinner.

For further information about the NIS and related benefits persons can visit mlss.gov.jm/national-insurance-scheme or call MLSS at 876-922-8000-13