Dáil Éireann Debate, Tuesday - 26 January 2010
455 Deputy Richard Bruton asked the Minister for Social and Family Affairs the rules for tapered withdrawal of rent supplement or mortgage interest supplement in the case of person returning to work under State supported schemes such as community, employment, back to work, graduate placement and so on. [3605/10]
View answerThe supplementary welfare allowance scheme provides for a weekly or monthly supplement to be paid in respect of rent or mortgage interest to any person in the State whose means are insufficient to meet their needs. The supplementary welfare allowance scheme is administered by the community welfare service of the Health Service Executive on behalf of the Department.
The purpose of the rent supplement scheme is to provide short-term support, to eligible people living in private rented accommodation whose means are insufficient to meet their accommodation costs and who do not have accommodation available to them from any other source.
Similarly, mortgage interest supplement provides short-term income support to eligible people who are unable to meet their mortgage interest repayments in respect of a house which is their sole place of residence. The supplement assists with the interest portion of the mortgage repayments only.
Significant improvements have been made to the means test for rent and mortgage interest supplement in recent years. The assessment of means now provides for a gradual withdrawal of payment as earnings increase. Those availing of part-time employment (less than 30 hours a week), community employment, and/or specified training opportunities can continue to receive rent or mortgage interest supplement subject to their satisfying the standard means assessment rules. Where a person has additional income in excess of the standard weekly rate of supplementary welfare allowance, the first €75 of such additional income together with 25% of any additional income above €75 is disregarded for means assessment purposes.
A person is regarded as being in full-time employment where s/he is works for 30 hours a week or more an d in general, a person is not entitled to rent or mortgage interest supplement while engaged in remunerative full-time employment. However, where an existing rent supplement tenant has been out of full-time employment for at least 12 months and, has been accepted by a housing authority as being eligible for accommodation under the Rental Accommodation Scheme, that person may engage in full-time employment and still be considered for rent supplement, subject to their satisfying all of the other conditions of the scheme, including a means test. Arrangements are in place to allow a person to participate in: approved employment, approved training schemes; or to engage in full-time employment and retain entitlement to mortgage interest supplement for up to 4 years on a tapered basis. If a claimant is on an approved scheme they can retain 75% of their mortgage interest supplement in year 1, 50% in year 2, and 25% in years 3 and 4. This arrangement is subject to the claimant's income being below an income threshold, currently €317.43. Back to work allowance and family income supplements are disregarded in the assessment of household income. PRSI and reasonable travelling expenses are also disregarded.
The Department is developing proposals in relation to the payment of rent and mortgage interest supplements to people who participate in the graduate placement scheme. These will be finalised and announced shortly.
456 Deputy Róisín Shortall asked the Minister for Social and Family Affairs the reason her Department does not reclaim illness benefit payments from insurance companies when full liability is accepted by the company; her estimate of the amount foregone in each of the past five years arising from this policy; if the same policy applies to all disability and illness type payments; and if she will make a statement on the matter. [3622/10]
View answer457 Deputy Róisín Shortall asked the Minister for Social and Family Affairs the number of disability or illness type claims granted for each of the past five years where the person had another source of private insurance or where their loss of income was covered through an insurance claim, court judgment or otherwise; and if she will make a statement on the matter. [3623/10]
View answerI propose to take Questions Nos. 456 and 457 together.
Social welfare legislation does not currently provide for the reimbursement to the Department by insurance companies of social welfare payments deducted from awards of special damages in respect of loss of earnings.
However, officials in the Department have been examining this matter. The Department does not routinely collect information on the numbers of clients who hold private insurance or whose loss of income was covered through an insurance claim. It is not possible, therefore, at this time to produce robust estimates of how much money might be reimbursed if the legislation in this area were changed.
