National Insurance

National Insurance Institute

A normative resident of Israel, who works for a living, will be paying a premium to the National Insurance Institute throughout his or her adult entire life. The National Insurance Institute is of great importance in many stages of life, especially for the elderly. National Insurance rights can be complex and will fluctuate according to the circumstances of the Insured.

For the elderly:

Old Age Pension: A person who worked at least ten years in the State of Israel, upon  reaching the age of retirement (calculate the age of retirement here) shall be entitled to an old age pension from the National Insurance Institute. The sum of the pension is determined according to the years that the Insured worked and is not determined by the size of the income of the Insured. Check entitlement to an old age pension here.

"No Double Discount": An Insured is not entitled to receive more than one full pension from among the various National Insurance pensions available. An Insured is entitled to one full pension, and 50% of any additional pension to which he or she is entitled.

A Special Pension:

An LTC Pension: A person who is not able to perform daily living activities (see: "Long Term Care Insurance") and who lives at home, is entitled to Long Term Care Benefits from the National Insurance Institute. The sum of the benefit corresponds to the scope of the Insured's inability to perform daily living activities and is usually translated into hours of assistance which are provided by an external agency or visits to an Elderly Day Center, both of which are paid for by the National Insurance Institute. This pension is income-dependent. If the Insured has a full-time caregiver, these benefits can be expressed by a financial payment in addition to the receipt of services.

Income Supplement: An Insured with a low income, is entitled to receive a supplement, which is capped (see table here).

Anyone entitled to an Income Supplement is also entitled to additional discounts in the payment of municipal taxes, electricity and more.