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<title>Social Security Programs Throughout the World: Europe, 2012 - Guernsey</title>
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<h1>Social Security Programs Throughout the World: Europe, 2012</h1>
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<h1>Guernsey</h1>
<div class="exchangeRate">Exchange rate: <abbr class="spell">US</abbr>$1.00 = 0.64&nbsp;pounds (&pound;).</div>
<h2>Old Age, Disability, and Survivors</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First laws:</span> 1925 (old age) and 1935 (old age and survivors).</p>
<p><span class="h4">Current laws:</span> 1971 (social assistance), 1978 (social insurance), and 1984 (attendance and invalid care).</p>
<p><span class="h4">Type of program:</span> Social insurance and social assistance system.</p>
<h3>Coverage</h3>
<p><span class="h4">Social insurance:</span> Employed and self-employed persons; and non-employed persons with an annual income of &pound;15,730 or more.</p>
<p>Voluntary coverage for non-employed persons under age&nbsp;65 with an annual income of less than &pound;15,730.</p>
<p><span class="h4">Social assistance and disability income-tested allowances:</span> All persons residing in Guernsey.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person:</span> 6% of covered earnings.</p>
<p>The minimum weekly earnings used to calculate contributions are &pound;121.</p>
<p>The maximum weekly earnings&nbsp;used to calculate contributions are &pound;2,022.</p>
<p>The insured's contributions also finance sickness, maternity, work injury, and unemployment benefits; prescription medicine; <span class="nobr">long-term</span> care; and some medical services.</p>
<p>Non-employed persons under age&nbsp;65 contribute 9.9% of annual income (old age and survivors).</p>
<p>The non-employed persons' (under age&nbsp;65) contributions also finance prescription medication, <span class="nobr">long-term</span> care and some medical services.</p>
<p>The minimum annual income of non-employed persons used to calculate contributions is &pound;15,730. Non-employed persons with income above &pound;15,730 pay contributions on the difference between their income and &pound;6,675.</p>
<p>The maximum annual earnings of non-employed persons used to calculate contributions are &pound;105,144.</p>
<p><span class="h4">Self-employed person:</span> 10.5% of covered earnings.</p>
<p>The minimum annual earnings used to calculate contributions are &pound;6,292.</p>
<p>The maximum annual earnings used to calculate contributions are &pound;105,144.</p>
<p>The self-employed person's contributions also finance sickness, maternity, and work injury benefits; prescription medicine; <span class="nobr">long-term</span> care; and some medical services.</p>
<p><span class="h4">Employer:</span> 6.5% of covered payroll.</p>
<p>The minimum weekly earnings used to calculate contributions are &pound;121.</p>
<p>The maximum weekly earnings used to calculate contributions are &pound;2,022.</p>
<p>The employer's contributions also finance sickness, maternity, work injury, and unemployment benefits; prescription medicine; <span class="nobr">long-term</span> care; and some medical services.</p>
<p><span class="h4">Government:</span> 15% of total contributions; total cost of social assistance and other noncontributory benefits; contributes as an employer.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Old-age pension:</span> Age&nbsp;65 with at least 156&nbsp;weeks of paid contributions and an annual average of 10&nbsp;weeks of paid or credited contributions in the <span class="nobr">45-year</span> period from age&nbsp;20 to age&nbsp;65. The full pension is paid for an annual average of at least 50&nbsp;weeks of paid or credited contributions.</p>
<p>Partial pension: The pension is reduced proportionately for an annual average of 10 to 49&nbsp;weeks of paid or credited contributions.</p>
<p>Dependent's supplement: Paid for a dependent wife younger than age&nbsp;65 with an annual average of 50&nbsp;weeks of paid or credited contributions; 10 to 49&nbsp;weeks for the reduced supplement.</p>
<p>Contributions may be credited for persons who are not working to care for a child younger than age&nbsp;16.</p>
<p>Retirement is not necessary.</p>
<p>The <span class="nobr">old-age</span> pension is payable abroad.</p>
<p><span class="h4">Disability pension (invalidity benefit):</span> The insured must be assessed as incapable of any work and have at least 50&nbsp;weeks of paid or credited contributions in the relevant contribution year for the full pension.</p>
<p>Partial pension: The pension is reduced proportionately with 26 to 49&nbsp;weeks of paid or credited contributions in the relevant contribution year.</p>
<p>The disability pension is replaced by the <span class="nobr">old-age</span> pension at age&nbsp;65.</p>
<p>The disability pension is payable abroad under reciprocal agreement.</p>
<p><span class="h4">Attendance allowance (income-tested):</span> Paid after three months of severe disability (special conditions apply if the person is terminally ill). The person was born in Guernsey or resided in Guernsey for at least five years. The annual income must not exceed &pound;85,000.</p>
<p><span class="h4">Invalid care allowance (income-tested):</span> Paid to an individual caring for a person with a severe disability for at least 35&nbsp;hours a week and earning less than &pound;121 a week from employment. The annual income must not exceed &pound;85,000.</p>
<p><span class="h4">Bereavement payment (survivor grant):</span> The deceased had an annual average of at least 50&nbsp;paid or credited weekly contributions from age&nbsp;20 to the year of death for the full benefit; 10 to 49&nbsp;weeks for the reduced benefit. The benefit is paid to all <span class="nobr">widow(er)s</span>. The survivor must have been married to the deceased at the time of death.</p>
<p>The bereavement payment is in addition to other survivor benefits.</p>
<p><span class="h4">Widowed parent's allowance:</span> The deceased had an annual average of at least 50&nbsp;weeks of paid or credited contributions from age&nbsp;20 to the year of death for the full benefit; 10 to 49&nbsp;weeks for the reduced benefit. The allowance is paid to a surviving spouse with at least one dependent child. The survivor must have been married to the deceased at the time of death.</p>
<p>The widowed parent's allowance ceases on remarriage or cohabitation.</p>
<p>The widowed parent's allowance is replaced by the <span class="nobr">old-age</span> pension at age&nbsp;65.</p>
<p><span class="h4">Bereavement allowance:</span> The deceased had an annual average of at least 50&nbsp;weeks of paid or credited contributions from age&nbsp;20 to the year of death for the full benefit; 10 to 49&nbsp;weeks for the reduced benefit. The allowance is paid to a surviving spouse aged&nbsp;45 to 64 with no dependent children who was married to the deceased at the time of death.</p>
<p>The bereavement allowance is replaced by the <span class="nobr">old-age</span> pension at age&nbsp;65.</p>
<p><span class="h4">Death grant:</span> The deceased had an annual average of 45 to 52&nbsp;weeks of paid or credited contributions from age&nbsp;20 to the year of death and 26&nbsp;weeks since 1971 for the full benefit; 10 to 44&nbsp;weeks for the reduced benefit. The grant is paid on the death of the insured, his or her spouse or surviving spouse, or his or her child.</p>
<p>All survivor payments, allowances, and grants are payable abroad.</p>
<p><span class="h4">Supplementary benefits (income-tested):</span> Paid to persons older than age&nbsp;60, persons with disabilities, persons caring for a family member, or single parents. The benefit is subject to a weekly income ceiling of &pound;450.</p>
<h3>Old-Age Benefits</h3>
<p><span class="h4">Old-age pension:</span> The full weekly pension is &pound;186.13.</p>
<p>Partial pension: The reduced weekly pension varies from &pound;37.23 to &pound;182.41.</p>
<p><span class="h4">Dependent's supplement:</span> The full weekly supplement for a dependent adult is &pound;93.24. The reduced weekly supplement varies from &pound;18.65 to &pound;91.38.</p>
<p><span class="h4">Supplementary benefit (income-tested):</span> Up to &pound;450 a week is paid, according to the family's situation and the number and age of dependents.</p>
<p>Benefit adjustment: All <span class="nobr">old-age</span> benefits are adjusted annually by the States of Guernsey on the recommendation of the Social Security Department.</p>
<h3>Permanent Disability Benefits</h3>
<p><span class="h4">Disability pension (invalidity benefit):</span> The full weekly pension is &pound;164.64.</p>
<p>Partial pension: The reduced weekly pension is &pound;90.58 to &pound;159.67. The benefit is paid after entitlement to cash sickness benefits ceases.</p>
<p><span class="h4">Attendance allowance:</span> A weekly allowance of &pound;92.12 is paid.</p>
<p><span class="h4">Invalid care allowance:</span> A weekly allowance of &pound;74.48 is paid.</p>
<p><span class="h4">Supplementary benefit (income-tested):</span> Up to &pound;450 a week is paid, according to the family's income, housing arrangements, and the number and age of dependents.</p>
<p><span class="h4">Benefit adjustment:</span> All disability benefits are adjusted annually by the States of Guernsey on the recommendation of the Social Security Department.</p>
<h3>Survivor Benefits</h3>
<p><span class="h4">Bereavement payment (survivor grant):</span> The full benefit is a lump sum of &pound;1,689; &pound;338 to &pound;1,655 for the reduced benefit.</p>
<p><span class="h4">Widowed parent's allowance:</span> The full weekly allowance is &pound;195.72; &pound;83.51 to &pound;192.91 for the reduced benefit.</p>
<p><span class="h4">Bereavement allowance:</span> The full weekly allowance is &pound;168.28; &pound;33.66 to &pound;164.91 for the reduced benefit.</p>
<p><span class="h4">Death grant:</span> The full benefit is a lump sum of &pound;534; &pound;267 to &pound;400.50 for the reduced benefit. The grant is paid on the death of the insured, the surviving spouse or child.</p>
<p><span class="h4">Supplementary benefit (income-tested):</span> Up to &pound;450 a week is paid, according to the family's situation and the number and age of dependents.</p>
<p><span class="h4">Benefit adjustment:</span> All survivor benefits are adjusted annually by the States of Guernsey on the recommendation of the Social Security Department.</p>
<h3>Administrative Organization</h3>
<p>Social Security Department (<a href="http://www.gov.gg">http://www.gov.gg</a>) administers the program.</p>
<h2>Sickness and Maternity</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First laws:</span> 1964 (sickness), 1971 (maternity), and 1972 (medicine).</p>
<p><span class="h4">Current laws:</span> 1971 (social assistance); 1978 (social insurance), with 1999 (maternity); 1990 (medical benefits); and 2002 (long-term care).</p>
<p><span class="h4">Type of program:</span> Social insurance (cash benefits), social assistance (means-tested benefits), and universal (medical benefits and <span class="nobr">long-term</span> care) system.</p>
<h3>Coverage</h3>
<p><span class="h4">Cash sickness and maternity benefits:</span> Employed and self-employed persons with weekly earnings of &pound;121 or more.</p>
<p><span class="h4">Long-term care benefit:</span> All persons who have resided in Guernsey for at least five years, including the year immediately before the year of the claim.</p>
<p><span class="h4">Medical benefits:</span> All persons residing in Guernsey.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person:</span> See source of funds under Old Age, Disability, and Survivors. All persons over age&nbsp;65 contribute 2.9% of annual income (long-term care and medical benefits).</p>
<p><span class="h4">Self-employed person:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Employer:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Government:</span> See source of funds under Old Age, Disability, and Survivors; the total cost of supplementary benefits.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Cash sickness benefits:</span> The insured must have at least 26&nbsp;weeks of paid contributions since 1965 and at least 26&nbsp;weeks in the relevant contribution year.</p>
<p>The relevant contribution year for benefit claims made from January to June is two years before the year of the claim; for benefit claims made from July to December, one year before the year of the claim.</p>
<p><span class="h4">Cash maternity allowances:</span> The insured must have at least 26&nbsp;weeks of paid or credited contributions in the relevant contribution year.</p>
<p>The relevant contribution year for benefit claims made from January to June is two years before the year of the claim; for benefit claims made from July to December, one year before the year of the claim.</p>
<p><span class="h4">Maternity grant:</span> Must be insured and ordinarily reside in Guernsey.</p>
<p><span class="h4">Long-term care benefit:</span> The insured must have resided in Guernsey for at least five years, including the year immediately before receiving the <span class="nobr">long-term</span> care benefit, and must receive residential care, residential care with elderly mentally infirm care, or nursing care.</p>
<h3>Sickness and Maternity Benefits</h3>
<p><span class="h4">Sickness benefit:</span> &pound;136.99 a week is paid if the insured has at least 50&nbsp;weeks of paid or credited contributions in the relevant contribution year; with 26 to 49&nbsp;weeks of contributions, the weekly benefit is proportionately reduced and varies from &pound;75.32 to &pound;132.86.</p>
<p>The benefit is paid for up to 26&nbsp;weeks.</p>
<p><span class="h4">Maternity allowance:</span> &pound;136.99 a week is paid if the insured has at least 50&nbsp;weeks of paid or credited contributions in the relevant contribution year; with 26 to 49&nbsp;weeks of contributions, the weekly allowance is proportionately reduced and varies from &pound;75.32 to &pound;132.86.</p>
<p>The allowance is paid for 18&nbsp;consecutive weeks starting from one to 11&nbsp;weeks before the expected date of birth, depending on the insured's choice.</p>
<p><span class="h4">Maternity grant:</span> A lump sum of &pound;343 is paid.</p>
<p><span class="h4">Long-term care benefit:</span> &pound;391.37 a week is paid for residential home care (&pound;515.69 a week if assessed as having an elderly mental infirmity (EMI)); and &pound;730.73 a week for nursing home care. (The beneficiary must make a weekly copayment of &pound;176.61.)</p>
<p>Up to &pound;567.98 a week is paid for respite care provided in a residential home (&pound;692.30 a week if assessed as having an EMI); or &pound;907.34 a week for respite care provided in a nursing home. (There are no copayments for persons receiving respite care.)</p>
<p>There is no limit to duration for <span class="nobr">long-term</span> care benefits.</p>
<h3>Workers' Medical Benefits</h3>
<p><span class="h4">Medical benefits:</span> The government provides acute hospital accommodation. Specialist medical services are provided by specialist group practices contracted to the government.</p>
<p>Cost sharing: The insured pays a <span class="nobr">flat-rate</span> fee of &pound;3.10 for medical prescriptions. The fund pays additional costs. There is no fee for persons older than 64 or for social assistance beneficiaries and their dependents. The fund pays a partial subsidy directly to an approved doctor (&pound;12) or nurse (&pound;6).</p>
<h3>Dependents' Medical Benefits</h3>
<p>The government provides acute hospital accommodation. Specialist medical services are provided by specialist group practices contracted to the government.</p>
<p>Eligible dependents are the insured's children. Nonworking spouses must be registered and covered in their own right.</p>
<p>Cost sharing: The insured pays a <span class="nobr">flat-rate</span> fee of &pound;3.10 for medical prescriptions. The fund pays additional costs. There is no fee for persons older than 64 or for social assistance beneficiaries and their dependents. The fund pays a partial subsidy directly to an approved doctor (&pound;12) or nurse (&pound;6).</p>
<h3>Administrative Organization</h3>
<p>Social Security Department (<a href="http://www.gov.gg">http://www.gov.gg</a>) administers cash benefits.</p>
<p>Health and Social Services Department administers hospital benefits.</p>
<h2>Work Injury</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First law:</span> 1925.</p>
<p><span class="h4">Current law:</span> 1978 (social insurance).</p>
<p><span class="h4">Type of program:</span> Social insurance system.</p>
<h3>Coverage</h3>
<p>Employed and self-employed persons.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Self-employed person:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Employer:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Government:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Work injury benefits:</span> There is no minimum qualifying period.</p>
<h3>Temporary Disability Benefits</h3>
<p><span class="h4">Temporary disability benefit (industrial injury):</span> &pound;136.99 a week is paid for up to 26&nbsp;weeks; thereafter, the insured may be entitled to receive the full disability pension (see Old Age, Disability, and Survivors) until reaching pensionable age.</p>
<h3>Permanent Disability Benefits</h3>
<p><span class="h4">Permanent disability benefit (industrial disablement):</span> If the insured is assessed with a full disability (100%), the weekly pension is &pound;150.01. The benefit is proportionately reduced for an assessed degree of disability from 20% to 99%.</p>
<p>A medical board assesses the degree of disability.</p>
<p>Benefits are also provided under Old Age, Disability, and Survivors and Sickness and Maternity.</p>
<p>Benefit adjustment: Benefits are adjusted annually by the States of Guernsey on the recommendation of the Social Security Department.</p>
<h3>Workers' Medical Benefits</h3>
<p>Hospital accommodation is provided by the government. Specialist medical services are provided by specialist group practices contracted by the government.</p>
<p>There is no cost sharing.</p>
<h3>Survivor Benefits</h3>
<p><span class="h4">Bereavement payment (survivor grant):</span> A lump sum of &pound;1,689 is paid if the deceased had an annual average of at least 50&nbsp;weeks of paid or credited contributions from age&nbsp;20 to the year of death; with an annual average of 10 to 49&nbsp;weeks the lump sum is proportionately reduced and varies from &pound;338 to &pound;1,655.</p>
<p><span class="h4">Widowed parent's allowance:</span> The weekly allowance is &pound;195.72 if the deceased had an annual average of at least 50&nbsp;weeks of paid or credited contributions from age&nbsp;20 to the year of death; with an annual average of 10 to 49&nbsp;weeks, the weekly allowance is proportionately reduced and varies from &pound;83.51 to &pound;192.91.</p>
<p>If the deceased had an annual average of less than 10&nbsp;weeks of paid or credited contributions and death was the result of a work injury, the minimum number of weeks of contributions used to calculate benefits is 10.</p>
<p><span class="h4">Bereavement allowance:</span> The weekly allowance is &pound;168.28 if the deceased had an annual average of at least 50&nbsp;weeks of paid or credited contributions from age&nbsp;20 to the year of death; with an annual average of 10 to 49&nbsp;weeks, the weekly allowance is proportionately reduced and varies from &pound;33.66 to &pound;164.91.</p>
<p>The allowance is paid to a surviving spouse aged&nbsp;45 to 64 with no dependent children who was married to the deceased at the time of death.</p>
<p>Benefit adjustment: Benefits are adjusted annually by the States of Guernsey on the recommendation of the Social Security Department.</p>
<h3>Administrative Organization</h3>
<p>Social Security Department (<a href="http://www.gov.gg">http://www.gov.gg</a>) administers the program.</p>
<h2>Unemployment</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First law:</span> 1964.</p>
<p><span class="h4">Current law:</span> 1978 (social insurance).</p>
<p><span class="h4">Type of program:</span> Social insurance system.</p>
<h3>Coverage</h3>
<p>Employed persons with weekly earnings of at least &pound;121.</p>
<p>Exclusions: Self-employed and nonemployed persons.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Self-employed person:</span> Not applicable.</p>
<p><span class="h4">Employer:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<p><span class="h4">Government:</span> See source of funds under Old Age, Disability, and Survivors.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Unemployment benefits:</span> The insured must have at least 26&nbsp;weeks of paid or credited contributions. The full benefit is paid with at least 50&nbsp;weeks of paid or credited contributions in the relevant contribution year; the benefit is proportionately reduced with less than 50&nbsp;paid or credited weekly contributions.</p>
<p>The relevant contribution year for benefit claims made from January to June is two years before the year of the claim; for benefit claims made from July to December, one year before the year of the claim.</p>
<p>The insured must register at a job center each week to confirm his or her availability for work. The insured may be disqualified for 10&nbsp;weeks for leaving employment voluntarily, misconduct, or refusing a suitable work offer.</p>
<h3>Unemployment Benefits</h3>
<p>The weekly benefit is &pound;136.99 if the insured has at least 50&nbsp;weeks of paid or credited contributions in the relevant contribution year; with 26 to 49&nbsp;weeks, the weekly benefit is proportionately reduced and varies from &pound;75.32 to &pound;132.86.</p>
<p>The benefit is paid for up to 180&nbsp;days.</p>
<p>Requalification for the benefit requires 13&nbsp;additional weeks of employment with earnings at least 40&nbsp;times the young person's minimum hourly wage rate. Persons enrolled in a training course that is fully or partially funded by the States of Guernsey are not entitled to requalify for the benefit.</p>
<p>The young person's minimum hourly wage rate is &pound;4.36.&nbsp;</p>
<p>Benefit adjustment: Benefits are adjusted annually by the States of Guernsey on the recommendation of the Social Security Department.</p>
<h3>Administrative Organization</h3>
<p>Social Security Department (<a href="http://www.gov.gg">http://www.gov.gg</a>) administers the program.</p>
<h2>Family Allowances</h2>
<h3>Regulatory Framework</h3>
<p><span class="h4">First law:</span> 1943.</p>
<p><span class="h4">Current law:</span> 1950 (family allowances).</p>
<p><span class="h4">Type of program:</span> Universal system.</p>
<h3>Coverage</h3>
<p>All persons residing in Guernsey with one or more children.</p>
<h3>Source of Funds</h3>
<p><span class="h4">Insured person:</span> None.</p>
<p><span class="h4">Self-employed person:</span> None.</p>
<p><span class="h4">Employer:</span> None.</p>
<p><span class="h4">Government:</span> The total cost.</p>
<h3>Qualifying Conditions</h3>
<p><span class="h4">Family allowances:</span> Paid to a parent or guardian for a child younger than age&nbsp;16 (age&nbsp;20 if a student). The claimant was born in Guernsey or has resided in Guernsey for at least 52&nbsp;weeks in the last two years.</p>
<h3>Family Allowance Benefits</h3>
<p><span class="h4">Family allowance:</span> &pound;15.40 is paid weekly for each child.</p>
<p>Benefit adjustment: Benefits are adjusted annually by the States of Guernsey on the recommendation of the Social Security Department.</p>
<h3>Administrative Organization</h3>
<p>Social Security Department (<a href="http://www.gov.gg">http://www.gov.gg</a>) administers the program.</p>
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