The Law on Pension and Disability Insurance enables the voluntary payment of seniority and this year it amounts to 418.88 KM per month. This amount was determined on the basis of the data on the average salary, which was published by the Federal Bureau of Statistics.
Last year, voluntary insurance amounted to 359.89 KM, which means that more money must be allocated for voluntary insurance this year, by almost 59 KM.
The Law on PIO defines that a person who is not covered by compulsory insurance can be covered by voluntary insurance if he resides in the territory of the Federation of Bosnia and Herzegovina or the District of Brčko, has general health capacity, is older than 15 years, and lives up to the age of 65 at the latest, and if he is a citizen of Bosnia and Herzegovina.
Seniority is counted from the moment the documentation is submitted.
When paying for the internship at the PIO office, a person must also bring a medical certificate, because the law states that in order to exercise the right to voluntary insurance, one must meet the general health condition.
When paying voluntary insurance, a person does not need a company as an intermediary. A person registers, receives a decision on voluntary insurance, and that length of service is counted as pensionable, that is, regular length of service.
Voluntary insurance ends at the request of the insured.
In addition, voluntary insurance ends when the Tax Administration provides the insurance holder with a notice of unpaid contributions for three consecutive months.
Many in the Federation, when they are getting closer to retirement, find out that they have “holes” in their seniority, that their employer did not regularly pay their pension contributions, and this represents a kind of problem, because the law prescribes the number of years of service and the age that must be met in order to retire, writes Factor.
