All Resources Concentrated for Insurance Policy Settlements

With the working motto of "placing people and businesses at the center of service”, the Vietnam Social Security (VSS) always prioritizes resources for reforming administrative procedures and applying information technology and digital transformation in social insurance and health insurance. Accordingly, the receipt and settlement of social insurance and health insurance benefits for policyholders are made in time and in full regardless of administrative boundaries.

People come for transactions at HCM City Social Security Agency

Maximum convenience for policyholders

To carry out social insurance and health insurance policies in the new context and facilitate policyholders, over the past years, VSS has regularly reviewed and reduced unnecessary documents and procedures; strongly transformed its service-oriented working style; and strengthened IT application and comprehensive digital transformation. All administrative procedures are provided completely online and integrated on the VSS Service Portal and gradually integrated into the National Public Service Portal. VSS has also diversified forms of receiving records (online, in person, or via public postal service) for the satisfaction of policyholders. Almost all of its activities, as well as the transactions of people, workers and companies with VSS agencies have been carried out in the digital space, enabling transactions to be performed anytime, anywhere. If they need information, policyholders can interact with VSS agencies in many different channels such as support switchboards, websites and fanpages rather than go directly to VSS offices. In 2022, 18.3 million people interacted with VSS and accessed information on social insurance and health insurance policies. In the year, VSS was ranked first among ministries and agencies in the number of successful transactions on the National Data Exchange Platform (NDXP) with nearly 278 million transactions (according to the thematic report on the data connection and sharing released by the Ministry of Information and Communications.)

In addition, VSS has further directed its local agencies to improve their responsibility to better serve policyholders of social insurance, health insurance and unemployment insurance. For example, recently, as more people applied to withdraw one-time social insurance, leading to "overloading" in some southern provinces and cities, VSS gave timely instructions to its local agencies in order to create maximum favorable conditions and ensure benefits for workers in a timely and complete manner.

Provincial and municipal VSS agencies, including Ho Chi Minh City, focused all resources and carried out various practical solutions to solve one-time payments for social insurance policies in a transparent, favorable and economic manner. The city directed their employees to show a sense of responsibility in receiving applications from agencies and workers. They are strictly forbidden to avoid their job, cause difficulty or steer workers to other places for settlement.

The city publicly provided addresses for one-time settlement of social insurance policy (at 22 district-level agencies and 97 post offices); instructed how to place an appointment with a relevant VSS agency online, how to file applications for one-time settlement of social insurance and receive the result on the online public service portals. VSS agencies also received applications to this effect on Saturdays.

They cannot require policyholders present at VSS agencies to make an appointment for settlement on another day.

One-time withdrawal deprives of long-term security benefits

VSS always strives to support workers to take part in and get benefits from insurance policies, including one-time withdrawal of social insurance, in line with the law. However, for their own long-term security, workers are recommended not to withdraw one-time social insurance to avoid losing their benefits for their own. After they get one-time payments for social insurance, if they rejoin social insurance in the future, the benefit time will start over. As a result, when they retire, they will not have enough time to enjoy a pension or receive less pension in case the time is sufficient.

During their retirement, workers are offered free health insurance by the VSS Fund with benefits of up to 95% of medical examination and treatment costs.

In case pensioners die, funeral caretakers are entitled to a funeral support equal to 10 times of the monthly base salary and their relatives are entitled to a monthly or one-time death benefit.

Social insurance premiums are a valuable "saving" for workers themselves. In case they cannot continue their social insurance policies for a period of time, employees can reserve their policies and continue them when they can, either obligatorily or voluntarily. During the reservation period, if they, unfortunately, pass away, their family will be entitled to a funeral allowance and receive a one-time or monthly survivorship allowance as prescribed by law.

Therefore, premature one-time withdrawal of social insurance means depriving their own right to elderly security.

Indeed, administrative procedures for the reception and settlement of social insurance and health insurance conducted by VSS and its provincial and municipal agencies are aimed at bringing convenience and optimal benefits for policyholders regardless of administrative boundaries. This is a consistent goal and a cross-cutting approach that is synchronously applied by VSS from central to local levels.

By Huong Thom, Vietnam Business Forum