Chilean Social Insurance Schemes administered by the Superintendencia de Pensiones - Chilean Glossary
The 'Instituto de Normalización Previsional' was superseded by the 'Sistema de Capitalización Individual' in May 1981. The following benefits are still payable under this scheme:
- Old-age benefit - this benefit is paid to people who are 65 years of age and have 20 years of contributions; or to males who have 15.4 years of contributions and 50% of weeks since initial coverage; or females aged 60 who have 10 years of contributions. The rate paid is based on average monthly earnings in the last 5 years plus 1% of earnings for each 50 weeks over 500 weeks on contributions.
- Invalidity pension - this benefit is payable to people who are declared totally or partially disabled and are under age pension age. They must have a minimum of 50 weeks of contributions, 40% of which is in the last 5 years and 50% of weeks since initial coverage. The rate paid is based on average monthly earnings in the last 5 years plus 1% of earnings for each 50 weeks over 500 weeks on contributions.
- Survivor pension - this benefit is payable to the survivor(s) of deceased pensioners, or people who had 50 weeks of coverage which covers 50% of the enrolment period, 40% of which were in the last 5 years. The rate paid is 50% of the deceased base wage or 100% of pension insured, whichever is the greater. Orphans are paid 20% of the base wage or average pension in the year preceding death. The mother of the deceased's natural children is paid 60% of widows pension.
- Solidarity pension - a means-tested, non-contributory pension for individuals aged 65 or older who are not eligible for any other pension and who have lived in Chile for at least 20 years, including 4 of the last 5 years. A top-up component is also payable to individuals who have contributed to an individual account and whose self-financed monthly benefit (old-age or disability) is less than 150,000 pesos.
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Last reviewed: 30 April 2012
