Tel: +856 21 241 280-1; Fax: +856 21 241 279, Website: www.ssolao.gov.la, email: ssohq@ssolao.gov.la, 1

SOCIAL SECURITY ORGANIZATION

LAO PDRMINISTRY OF LABOUR AND SOCIAL WELFARE

Country PresentationBy: Manola DaravongVeomany Khamphay

Presentation Outline

Country profile and health indicators

Challenges

Social Security principle

Social Security Schemes in Laos

Benefits package of SSS

Women entitlement under SSS benefits

Other benefits and social protection development

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Country profile and Health indicators

Country profile:

- Population 6.7 Million

- Country area 236,800 sq.km

- Pop. Informal Eco. 75%

- Poverty 25%

- GDP per capita $ 1,645

- GDP growth 8.1%

Health indicators:- MMR/100,000 375

- IMR/1,000 48

- U5MR/1,000 61

- Life expectancy at birth

68 year:

- Males: 66.5

- and Females: 69.2

Source: world Bank and WHO 2012

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Challenges

Poor maternity protection for women in rural areas High vulnerability to loss of income and maternity related cost Limited access to qualified health care provision (economic,

physical, cultural) Maternity Mortality Rate (MMR) remains very high compared

in the region Lack of awareness and limited access to information and

counseling Gender inequalities

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Social security principle

Promote gender equalities Improving access to quality health care Better condition /environment of working Reducing vulnerability to income loss and social

economic empowerment of women Improving access to information, prevention and

counseling Promoting breastfeeding arrangement or

opportunities

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5

Social Protection Systems in Lao PDR

The social protection system in Laos is formed by three social security

schemes and one safety net

The four schemes are implemented in a fragmented way whereby two are

run by Ministry of labour and two by Ministry of Health, as follows:

- State Authority for Social Security (SASS)

- Social Security Organization (SSO)

- Community-Based Health Insurance (CBHI)

- Health Equity Fund (HEF)

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State Authority for Social Security (SASS)

Established in 2008 and a compulsory scheme

Under Ministry of Labour and Social Welfare

Covers civil servants and their dependant spouse and children

under 18 years or 23 if continue to study

Health care benefit is 1 of 8 benefits provided by the scheme,

including health insurance, working injury benefit and short

and long term benefits.

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Social Security Organization (SSO)

Established in 2001

under Ministry of Labour and Social Welfare

Covers private and state-own enterprise employees and their dependant spouse

and children under 18 years or 23 if continue to study

Provide 8 benefits (short and long term benefits)

It’s a so-called mandatory scheme, therefore very low compliance with approx.

36% of targeted employers enrolled

From F.Y 2014-2015 the SASS & SSO will be merged to be the National Social

Security Fund

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Community-Based Health Insurance (CBHI)

Lunched as pilot project by Ministry of Health in 2002

It is a voluntary social health insurance scheme for informal

economy

Members are eligible for health package obtained from primary

health care providers and referral hospital at provincial level

Low enrolment and high drop-out rate

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Health Equity Fund (HEF)

Financed by government and donors launched in 2004

Targeted at the poor

Run by Ministry of Health and some HEFs are administered by

Non-state Partners (e.g: the lao Red Cross/Swiss Red Cross)

Using either reimburse providers or a combination of

capitation and case-based reimbursement

Utilization of services trend to increase

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System Target Source of fund Benefits

State Authority Social Security

(SASS)

Public sector Contributions:

- 8% from state employee

- 8.5% from Government8 type of benefits

Social Security Organization

(SSO)

Private sector Contributions:

- 5.5% from employee

- 6% from employer

8 type of benefits

Community Based Health

Insurance (CBHI)

Community Contributions based on family size in a fixed amount, (13,000 to 33,000 LAK/month/family

Health Insurance

Health Equity Fund

The poor Government and NGOs

pay capitation to CBHI

Health Insurance

Social Security Systems in Laos

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6.38%2.22%

11.82%

2.05%

77.53%

Social health Protection in Laos 2012

SASS

SSO

HEF

CBHI

Non

Source: National Health Insurance Bureau, MOH

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Benefit Package

1. Employment injury and occupational disease;

2. Health Insurance;

3. Sickness benefit;

4. Maternity benefit; Short-term benefits

5. Funeral grant;

6. Old age pension;

7. Survivor pension; Long-term benefits

8. Unemployment benefit.

Women entitlement under social security benefits

Health care services including pregnancy and delivery services Sickness benefit Maternity benefit:

- replacement of income of an insured working woman for a

period before and after confinement

- Qualify period : Have contributed to the SSO fund at least 8

months within the last 12 months

- Calculation of maternity Benefit: equivalent of 100% of the

insured salary for a period of three months

- Survivor benefit

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Other benefits

Exemption of charges for MNCH Equality for health care services (rich and poor) 1 hour/day for breastfeeding Women entitle to maternity leave of 105 days

per child (if twin will be 120 days)

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However, the coverage of all schemes is still low about 22.47% of total population

Maternal, neonatal and child health services is still limit in some areas.

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Social protection development

The government committed to extend social protection universally by 2025

Expand the exemption of charges for MNCH national wide

Merging social security schemes in to the national social security fund

Expand the scope of social security coverage to informal sector including self employed and common people.

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MANY THANKS

FOR YOUR ATTENTION