Social insurance and Labor insurance systems in Japan
Japanese social and Labor insurance systems comprise following systems:
- Workers' Accident Compensation Insurance (Rousai Hoken)
- The Employment Insurance System (Koyo Hoken)
- Ordinary enterprises 19.5/1000 (employer 11.5/1000, 1.15%, employee 8/1000)
- Enterprises concerning Agriculture, Forestry and Fishery, and Brewing 21.5/1000 (employer 12.5/1000, 1.25%, employee 9/1000)
- Construction Industry 22.5/1000 (employer 13.5/1000, 1.35%, employee 9/1000)
- Health Insurance and Employees' Pension Insurance
The purpose of these systems is to help employees to maintain a stable life by providing employees or their families with medical or pension benefits for an illness, injury or old age and other problems. Premiums are determined in accordance with the insured person's salary.
Health Insurance and Employees' Pension Insurance apply to all corporations and individual offices which regularly employ 5 or more persons. Those who are required to join this insurance, are employees who work regularly for an applicable company, and an employees' ordinary working days or hours are three quarters or more of those of full - time employees.
The monthly premiums are determined in accordance with the employees' wages, and are shared equally between the employer and the insured person. As the employer must pay both the shared premiums together each month, the employee's premium shall be deducted from his/her monthly wages and bonus.
Insurance premiums are calculated by multiplying the monthly standard remuneration and“ bonus” payments with the premium rates.
Health Insurance Premiums
- The non-insured for long-term nursing care insurance; 82/1000, 8.2% (subsidized equally by employers and employees)
- The insured for long-term nursing care insurance(For those age 40 to 64); 94.3/1000, 9.43% (subsidized equally by employers and employees)
- 146.42/1000, 14.642% (subsidized equally by employers and employees)
National Health Insurance and National PensionNational Health Insurance and National Pension apply to those who are self -employed, agriculture, forestry and fisheries and also for others unemployed. Individuals are required to file at one's regional government office. National Health Insurance premiums (tax) should be paid by each household. Premiums (tax) are computed based on the total amount of inhabitant tax of all members of one household. Monthly premiums for the National Pension are ￥13,860 per person over 20 years old (as of Apr. 2006).
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