Dáil Éireann Debate, Wednesday - 17 May 2023
155. Deputy Mick Barry asked the Minister for Social Protection if she will consider allowing those who are paying Class S PRSI to make additional voluntary contributions to allow them access to illness benefit, given the increased awareness and necessity for persons to isolate when ill from many illnesses, and the increasing number of persons in this group who are on low or middle incomes; and if she will make a statement on the matter. [23381/23]
View answerSelf-employed workers whose income is €5,000 or more in a contribution year, are liable to pay social insurance contributions at the class S rate of 4%, subject to a minimum annual payment of €500. Such contributors are currently covered for a wide range of social insurance benefits including State pension (contributory), widow's, widower's or surviving civil partner's pension (contributory), guardian’s payment (contributory), maternity, adoptive and paternity benefits, treatment benefits, invalidity pension, partial capacity benefit if in receipt of invalidity pension, jobseeker’s benefit (self-employed) and parent’s benefit.
Since 2017, self-employed contributors have gained access to a number of social insurance benefits such as invalidity pension, treatment benefit, jobseeker's benefit (self-employed), paternity and parent's benefit, without any increase in their rate of contribution. With respect to the level of contribution to the social insurance fund by self-employed workers, they are now covered for most of the social insurance benefits available - representing approximately 93% of the value of all available benefits - in return for a contribution of 11 percentage points lower than that made in respect of employed contributors.
In view of the significant increased access to a range of social insurance benefits in recent years, without any associated increase in the rate of contribution by self-employed workers, access to the remaining benefits, including illness benefit, would have to be considered in a budgetary context and in the context of any future proposals for changes to social insurance contribution rates to underpin the sustainability of the Social Insurance Fund.
I trust this clarifies the matter.
