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<h1>Social Security Programs Throughout the World: The Americas, 2005</h1>
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<div class="innards">
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<h1>Honduras</h1>
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<div class="exchangeRate">Exchange rate: US$1.00 equals 18.86 lempiras.</div>
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<h2>Old Age, Disability, and Survivors</h2>
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<h3>Regulatory Framework</h3>
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<p><span class="h4">First and current law:</span> 1959 (social security), implemented in 1971, with 2001 amendment.</p>
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<p><span class="h4">Type of program:</span> Social insurance system.</p>
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<h3>Coverage</h3>
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<p>Employed persons in private- and public-sector enterprises in specified regions.</p>
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<p>Coverage is being extended gradually to additional regions.</p>
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<p>Exclusions: Domestic workers, temporary workers, and some groups of agricultural workers.</p>
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<h3>Source of Funds</h3>
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<p><span class="h4">Insured person:</span> 1% of earnings.</p>
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<p>The minimum monthly earnings for contribution purposes are 144 lempiras.</p>
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<p>The maximum monthly earnings for contribution purposes are 4,800 lempiras.</p>
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<p><span class="h4">Self-employed person:</span> Not applicable.</p>
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<p><span class="h4">Employer:</span> 2% of payroll.</p>
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<p>The minimum monthly earnings for contribution purposes are 144 lempiras.</p>
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<p>The maximum monthly earnings for contribution purposes are 4,800 lempiras.</p>
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<p><span class="h4">Government:</span> 0.5% of payroll; also contributes as an employer.</p>
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<p>The minimum monthly earnings for contribution purposes are 144 lempiras.</p>
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<p>The maximum monthly earnings for contribution purposes are 4,800 lempiras.</p>
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<h3>Qualifying Conditions</h3>
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<p><span class="h4">Old-age pension:</span> Age 65 (men) or age 60 (women) with at least 180 months of contributions.</p>
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<p>Retirement from covered employment is necessary.</p>
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<p><span class="h4">Old-age settlement:</span> Age 65 (men) or age 60 (women) with less than 180 months of contributions.</p>
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<p><span class="h4">Disability pension:</span> A loss of 2/3 of earning capacity in the usual occupation with 36 months of contributions in the last 6 years; 8 months of contributions in the last 24 months in the case of a nonoccupational accident. (Men aged 45 or older and women aged 40 or older in 1971 must have contributed for 5 years or 60 months at the time they joined the system.)</p>
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<p><span class="h4">Disability settlement:</span> Disabled and does not meet the qualifying conditions for a pension.</p>
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<p><span class="h4">Survivor pension:</span> In the case of a death resulting from a common illness, the deceased had 36 months of contributions in the last 6 years; 8 months of contributions in the 24 months before the injury resulting in a nonoccupational accident-related death.</p>
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<p>Eligible survivors are a <span class="nobr">widow(er)</span> or partner aged 65 or older or disabled and orphans younger than age 14 (age 18 if a student, no limit if disabled); in the absence of a <span class="nobr">widow(er)</span> or partner or orphans, a mother of any age and a father older than age 65 or disabled.</p>
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<h3>Old-Age Benefits</h3>
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<p><span class="h4">Old-age pension:</span> The pension is equal to 40% of the insured's basic monthly earnings, plus an additional 1% of earnings for each <span class="nobr">12-month</span> period of contributions exceeding 60 months.</p>
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<p>Basic monthly earnings for pension calculation purposes are equal to 1/36 or 1/60 of insured earnings in the last 3 or 5 years before the month of entitlement, whatever is greater.</p>
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<p>Deferred pension: An additional 3% of basic monthly earnings is paid for each year of contributions after age 65 (men) or age 60 (women).</p>
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<p>The minimum pension is equal to 50% of basic monthly earnings.</p>
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<p>The maximum pension is equal to 80% of basic monthly earnings.</p>
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<p><span class="h4">Old-age settlement:</span> The total contributions are refunded as a lump sum.</p>
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<h3>Permanent Disability Benefits</h3>
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<p><span class="h4">Disability pension:</span> The pension is equal to 40% of the insured's basic monthly earnings, plus an additional 1% of earnings for each <span class="nobr">12-month</span> period of contributions exceeding 60 months.</p>
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<p>Basic monthly earnings for pension calculation purposes are equal to 1/36 or 1/60 of insured earnings in the last 3 or 5 years before the month of entitlement, whatever is greater.</p>
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<p>Constant-attendance supplement: If assessed as more than 50% disabled, up to a maximum of 50% of the pension.</p>
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<p>The maximum pension is equal to 80% of covered earnings.</p>
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<p><span class="h4">Disability settlement:</span> The total contributions are refunded as a lump sum.</p>
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<h3>Survivor Benefits</h3>
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<p><span class="h4">Survivor pension:</span> A <span class="nobr">widow(er)</span> receives 40% of the pension paid or payable to the deceased.</p>
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<p>The pension ceases on remarriage.</p>
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<p>Remarriage settlement: A <span class="nobr">widow(er)</span> receives a lump sum equal to 12 months' pension.</p>
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<p><span class="h4">Orphan's pension:</span> Each orphan receives 20% of the deceased's pension; 40% for a full orphan.</p>
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<p><span class="h4">Dependent parent's pension (in the absence of the above):</span> 20% of the deceased's pension is payable to each eligible parent.</p>
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<p>The maximum survivor pension is equal to 100% of the deceased's pension and is split as follows: a <span class="nobr">widow(er)</span> or partner receives 40%; orphans younger than age 14 receive a total of 60%.</p>
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<p><span class="h4">Funeral grant:</span> Equal to 50% of basic monthly earnings. The minimum funeral grant is 250 lempiras if the deceased made at least one contribution in the last 6 months; 100 lempiras if the beneficiary is not a member of the deceased's family.</p>
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<h3>Administrative Organization</h3>
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<p>Ministry of Labor and Social Welfare provides general supervision.</p>
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<p>Managed by a board of directors and director general, the Social Security Institute (http://www.ihss.hn) administers the program.</p>
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<h2>Sickness and Maternity</h2>
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<h3>Regulatory Framework</h3>
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<p><span class="h4">First and current law:</span> 1959 (social security), implemented in 1962, with 2001 amendment.</p>
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<p><span class="h4">Type of program:</span> Social insurance system. Cash and medical benefits.</p>
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<h3>Coverage</h3>
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<p>Public-sector employees and employees of firms in industry and commerce with one or more workers in specified regions; children of insured persons younger than age 5; disability pensioners; and old-age pensioners.</p>
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<p>Unemployed female workers are eligible for medical care while pregnant and during childbirth but are not eligible for cash maternity benefits.</p>
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<p>Coverage is being extended gradually to additional regions. The labor code is still in force in regions to which social insurance has not yet been extended.</p>
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<p>Exclusions: Agricultural, domestic, family, and temporary workers.</p>
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<h3>Source of Funds</h3>
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<p><span class="h4">Insured person:</span> 2.5% of earnings.</p>
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<p>The minimum monthly earnings for contribution and benefit purposes are 360 lempiras.</p>
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<p>The maximum monthly earnings for contribution and benefit purposes are 4,800 lempiras.</p>
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<p>The above contributions also finance work injury benefits.</p>
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<p><span class="h4">Self-employed person:</span> Not applicable.</p>
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<p><span class="h4">Employer:</span> 5% of payroll.</p>
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<p>The minimum monthly earnings for contribution and benefit purposes are 360 lempiras.</p>
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<p>The maximum monthly earnings for contribution and benefit purposes are 4,800 lempiras.</p>
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<p>The above contributions also finance work injury benefits.</p>
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<p><span class="h4">Government:</span> Contributes as an employer, plus 0.5% of total covered earnings. (The contribution on total covered earnings has never been paid.)</p>
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<p>The minimum monthly earnings for contribution and benefit purposes are 360 lempiras.</p>
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<p>The maximum monthly earnings for contribution and benefit purposes are 4,800 lempiras.</p>
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<p>The above contributions also finance work injury benefits.</p>
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<h3>Qualifying Conditions</h3>
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<p><span class="h4">Cash sickness benefits:</span> Must have 35 days of contributions in the 3 months before the onset of incapacity.</p>
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<p><span class="h4">Cash maternity benefits:</span> Must have 75 days of contributions in the last 10 months.</p>
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<p><span class="h4">Medical benefits:</span> Currently in insured employment or unemployed.</p>
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<h3>Sickness and Maternity Benefits</h3>
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<p><span class="h4">Sickness benefit:</span> The benefit is equal to 66% of the insured's earnings in the last 3 months and is payable after a <span class="nobr">3-day</span> waiting period for up to 26 weeks; may be extended to 52 weeks.</p>
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<p>The labor code requires employers to provide sick leave to employees not covered by social insurance.</p>
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<p><span class="h4">Maternity benefit:</span> The benefit is equal to 66% of the insured's earnings and is payable for 6 weeks before and 6 weeks after the expected date of childbirth.</p>
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<p>The labor code requires employers to provide maternity leave to employees not covered by social insurance.</p>
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<h3>Workers' Medical Benefits</h3>
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<p>Medical services are provided directly to patients through the health facilities of the Social Security Institute. Benefits include general and specialist care, surgery, hospitalization, necessary medicines, laboratory services, appliances, dental care, and maternity care including postnatal care for up to 42 days.</p>
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<p>The period of duration is dependent on continuing to meet the contribution requirements. If the insured person is unemployed, benefits are limited to 60 days of general care and 6 months of specialized care.</p>
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<h3>Dependents' Medical Benefits</h3>
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<p>Benefits include maternity care for the insured's wife, including postnatal care for up to 45 days; pediatric care for the insured's children until age 5 and 30 days or for up to 26 weeks after the insured's death.</p>
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<h3>Administrative Organization</h3>
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<p>Ministry of Labor and Social Welfare provides general supervision.</p>
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<p>Managed by a board of directors and director general, the Social Security Institute (http://www.ihss.hn) administers the program.</p>
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<p>Social Security Institute operates its own hospitals and outpatient clinics and contracts the services of private clinics.</p>
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<h2>Work Injury</h2>
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<h3>Regulatory Framework</h3>
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<p><span class="h4">First and current law:</span> 1959 (social security), implemented in 1971, with 2001 amendment.</p>
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<p><span class="h4">Type of program:</span> Social insurance system.</p>
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<h3>Coverage</h3>
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<p>Public-sector employees and employees of firms in industry and commerce with one or more workers in specified regions.</p>
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<p>Coverage is being extended gradually to additional regions. The labor code is still in force in regions to which social insurance has not yet been extended.</p>
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<p>Exclusions: Agricultural, domestic, family, and temporary workers.</p>
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<h3>Source of Funds</h3>
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<p><span class="h4">Insured person:</span> See source of funds under Sickness and Maternity, above.</p>
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<p><span class="h4">Self-employed person:</span> Not applicable.</p>
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<p><span class="h4">Employer:</span> See source of funds under Sickness and Maternity, above.</p>
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<p><span class="h4">Government:</span> See source of funds under Sickness and Maternity, above.</p>
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<h3>Qualifying Conditions</h3>
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<p><span class="h4">Work injury benefits:</span> There is no minimum qualifying period.</p>
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<p><span class="h4">Survivor benefits:</span> The deceased worked for a month in insured employment.</p>
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<h3>Temporary Disability Benefits</h3>
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<p>The benefit is equal to 66% of the insured's daily wage and is payable after a <span class="nobr">3-day</span> waiting period for up to 52 weeks.</p>
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<p>The maximum daily wage for benefit calculation purposes is 4,800 lempiras.</p>
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<h3>Permanent Disability Benefits</h3>
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<p><span class="h4">Permanent disability pension:</span> The pension is equal to 66% of the insured's basic monthly earnings, plus an additional 1% of earnings for each <span class="nobr">12-month</span> period of contributions exceeding 60 months.</p>
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<p>Basic monthly earnings for pension calculation purposes are equal to 1/36 or 1/60 of insured earnings in the last 3 or 5 years before the month of entitlement, whichever is greater.</p>
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<p>Constant-attendance supplement: Up to a maximum of 50% of the insured's pension.</p>
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<p>Partial disability: If the assessed degree of disability is greater than 15%, a percentage of the full pension is paid according to the assessed degree of disability. If the calculated monthly pension is less than 10 lempiras, a lump sum is paid.</p>
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<h3>Workers' Medical Benefits</h3>
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<p>Benefits include medical, surgical, and hospital care; medicines; and appliances.</p>
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<h3>Survivor Benefits</h3>
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<p><span class="h4">Survivor pension:</span> A <span class="nobr">widow(er)</span> older than age 65 or disabled receives 40% of the pension paid or payable to the deceased.</p>
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<p><span class="h4">Orphan's pension:</span> Each orphan younger than age 14 (age 18 if a student, no limit if disabled) receives 20% of the deceased's pension; 40% for a full orphan.</p>
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<p><span class="h4">Dependent parent's pension (in the absence of the above):</span> 20% of the deceased's pension is payable to a mother of any age or a father older than age 65 or disabled.</p>
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<p>The maximum survivor pension is 100% of the deceased's pension.</p>
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<p><span class="h4">Funeral grant:</span> Equal to 50% of the deceased's basic monthly earnings. The minimum funeral grant is 125 lempiras if the deceased had made at least one contribution in the last 6 months.</p>
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<h3>Administrative Organization</h3>
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<p>Ministry of Labor and Social Welfare provides general supervision.</p>
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<p>Managed by a board of directors and director general, the Social Security Institute (http://www.ihss.hn) administers the program.</p>
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<p>Social Security Institute operates its own outpatient clinics and hospitals.</p>
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</div>
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