The new auxiliary insurance system covers the risks of old age, disability and death.
TEKA follows the general rules that apply for establishing an entitlement to an old age pension. Persons who have completed at least 15 years of insurance with TEKA are entitled to a life-long monthly auxiliary old age pension as long as they are awarded a pension for the same reason by their main insurance Fund.
In the event that a person does not complete 15 years of insurance with TEKA, the paid contributions shall be refunded when the person reaches retirement age (67 years of age).
If an insured person has completed 12 or more years of insurance, then he or she may make a lump sum payment of the for the remaining contributions in order to complete 15 years.
In this case, the insurance time in both TEKA and other auxiliary insurance Funds shall be taken into account for determining the entitlement to a pension. The amount of the pension shall be calculated separately for the total insurance time in each fund. This means that a person who was previously insured with e-- EFKA’s auxiliary insurance and opted to switch to the new Fund, shall collect the appropriate amount from both funds in the form of a monthly auxiliary pension.
The decision for awarding an auxiliary pension is made after the decision for awarding a main pension. TEKA will be automatically notified by e-EFKA and will proceed to issue the auxiliary pension decision.
The old age auxiliary pension is a life-long benefit which is calculated on the basis of the contributions paid, the returns on investment and the mean life expectancy, as is the case to date.
The Fund shall award a disability pension if the person is in receipt of a disability pension from their main insurance fund. The auxiliary disability pension is calculated on the basis of the amount the claimant has accumulated in his or her individual account. If this amount in the individual account is less than the amount that would have accumulated if the person had earnings equal to those of a full time salaried person earning minimum wage over 15 years, then the difference shall be covered by the State budget.
TEKA shall award auxiliary pensions to beneficiaries in the event of a pensioner's or insured person’s death.
A. Auxiliary pension due to pensioner’s death: The amount of the pension is calculated as a percentage of the auxiliary pension awarded to the pensioner with the exact same terms that apply at the moment (article 12 of law 4387/2016 as in force).
B. Auxiliary pension due to insured person’s death: Calculated based on the amount that the person has accumulated in his or her individual account. If this amount in the individual account is less than the amount that would have accumulated if the person had earnings equal to those of a full time salaried person earning minimum wage over 15 years, then the difference shall be covered by the State budget.