AMENDMENT IN THE SHORT TERM INSURANCE BRANCH PREMIUM RATE

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Previously in accordance with article 81 (c) of the Law no. 5510 on Social Insurance and Universal Insurance Law, short term insurance branches premium rate is between 1% and 6.5% of Earning Subject to Premium depending on the gravity of the danger of the work in terms of work accident and occupational disease and  all of this premium is paid by the employer.

Insurance Branches* Employee’s Allocation (%) Employer’s Allocation (%) Total Allocation (%)
Short Term Insurance Branch Premium

-

1 to 6,5

1 to 6,5

Invalidity, Old Age and Death Insurance Premium

9

11

20

General Health Insurance

5

7,5

12,5

Total**

14

19,5 to 25

33,5 to 39

*   Applicable for the insurance holders within the scope of article 4 (a) of the Law no:5510 on Social Insurance and Universal Health Insurance Law.
** Unemployment insurance is excluded.

Effective from 01/09/2013 Short term insurance branches premium rate will be 2% of earning subject to premium regardless of the gravity of the danger of the work.

Insurance Branches[1] Employee’s Allocation (%) Employer’s Allocation (%) Total Allocation (%)
Short Term Insurance Branch Premium

-

2

2

Invalidity, Old Age and Death Insurance Premium

9

11

20

General Health Insurance

5

7,5

12,5

Total

14

20,5

34,5

Total Cost of Employee to Employer will change as follows;


TOTAL COST OF EMPLOYEE TO EMPLOYER

 

Before 01/09/2013
(19,5%)

After 01/09/2013
(20,5%)

Gross salary

1021,50 TL

1021,50 TL

Social Security Premium Employer’s Allocation*

199,19 TL

209,41 TL

Unemployment Insurance (2%)

20,43 TL

20,43 TL

TOTAL COST

1.241,12 TL

1251,34 TL

 

* “For the private sector employers who employ insurance holders under item (a) of paragraph one of Article 4 of this Law, the amount corresponding to five points of employer share in the premiums of invalidity, old – age and survivors insurances pursuant to item (a) of paragraph one of this Article shall be covered by the Treasury.” SOCIAL INSURANCE AND UNIVERSAL HEALTH INSURANCE LAW (law no:5510 – Article 8-ı ) - After taking five points deduction into consideration, Social Security Premium Employer's Share will be 158,33 TL and Total Cost will be 1.200,26 TL

 

[1] Applicable for the insurance holders within the scope of article 4 (a) of the Law no:5510 on Social Insurance and Universal Health Insurance Law.

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