Social Security Services in Egypt 

For a long time, Egypt has been at the forefront of addressing social security issues for its people. The Ministry of Social Solidarity (MoSS) and the National Organisation for Social Insurance (NOSI) have significantly improved social security services in Egypt through changes that have enhanced how different social security services are administered and delivered to the general public. 

On August 23, 2019, Egypt switched to a primary social security approach. It revamped the law by consolidating the social security system under a single program to cover the private, public, and private sectors. 

This post answers some frequently asked questions about Egypt's social security services. 

 Is there a social security service in Egypt? 

The 2019 Social Security and Pension Act provides Egypt with social security services. The National Organization for Social Insurance (NOSI) is responsible for managing the following social funds:

1. The Government Social Fund (GSF) which involves civil servants. 
2. The Public and Private Business Sector Fund (PPBSF) which covers other categories, including private and public sector employees.

What is social insurance? 

Social insurance is a public social security program that covers a range of risks, including pensions (old age, disability, and survivors), unemployment, sickness, and work injury benefits. 

What is the social insurance salary in Egypt? 

The New Law defines "comprehensive insurance salary" as the actual salary received by employees, including fixed salary, incentives, tips, overtime payments, commissions, and other types of remuneration. Comprehensive insurance coverage is also subject to minimum and maximum thresholds, as outlined below.

A. The minimum insurance salary is EGP 1,000/month or EGP 12,000/year.

B. The maximum insurance salary is EGP 7,000/month or EGP 84,000/year.

The above minimum and maximum amounts should be increased by 15% each year for the next seven years, beginning on January 1, 2021. 

How is social insurance calculated in Egypt? 

An employer should contribute 18.75% and employees 11% of the social insurance salary. This subscription comes with a minimum wage of EGP 1,400 and a maximum limit of EGP 9,400 from January 2022. 

Does Egypt have a pension system?

Egypt has a pension system that has been in existence since they passed Social Insurance Law No. 9. Egypt's NOSI has a new Old Age Pension (OAP) available to all residents aged 65 and above, which effectively provides basic income security to older people. It consists of a contributory scheme and a non-contributory scheme. 

What is the retirement age in Egypt? 

According to the Comprehensive Social Insurance Law No. 148/2019 ("New Law" effective in January 2020), the average retirement age will be increased from 60 years to 65 years by 2040. The first age increase will be 61 years as of July 1, 2032, and then a one-year increase every two years. 

Who is eligible for a pension in Egypt? 

You require 15 years of insured employment to be eligible for a pension or 20 years of insured career to claim an early retirement pension. However, under the "New Law," you will require 15 years of guaranteed employment to be eligible for assistance or 25 years of insured work to claim an early retirement pension. 

Is there an additional pension in Egypt? 

Yes, social security in Egypt provides an additional pension scheme (optional) to employees whose insurance exceeds the maximum limit, i.e., EGP 7,000/month. This pension scheme aims to help employees pay an additional contribution to enhance their benefits after retirement. 

Is there health insurance in Egypt? 

There is no government-offered public health insurance policy. However, Egyptian citizens can obtain insurance coverage through private insurance providers with government support and operations under government supervision. 

Is there universal healthcare in Egypt? 

Yes. In 2019, Egypt introduced Universal Healthcare Insurance (UHI) system to cover all Egyptians by 2032. 

What are the minimum and maximum pension? 

The minimum monthly pension is 65% of the minimum monthly income, and the maximum allowance is 80% of the total monthly income used for calculating contributions. 

When is benefit adjustment in Egypt? 

Previously, they made benefit adjustments at the discretion of the authorities. However, according to the new law, benefits will be adjusted annually in July, depending on the national consumer price index.