"The law 87-01 poses serious challenges"

A l Dominican Republic Social security system qualifies you as one of the most important reforms of the past decade. It is a sector that has generated a great help to a segment of the population, but today, ten years later, remaining outstanding issues involving not only society, but the employer sector which has seen a great need to take it to the fullness, as stated in the law on the system.

Marisol Vicens, current Member of the Committee Executive of the National Council of the private enterprise (Conep); and representative of private before the National Council of Social Security (CNSS) ensures that the law 87-01 is more important reform of the last ten years, to evaluate the system in which points out there are distortions that threaten its future and pending challenges.

For Vicens, is vital to upgrade the health services Plan (PDSS), in order to improve the coverage and increase the coverage of outpatient medicines. It recognizes that there are u000adeficiencies to justify the fact that many think that the contributions are considered a tax.

Similarly, explains that the system recorded deficits, but that is due to doctors and clinics owners were imposed in 2007 and the authorities have launched the Familar health insurance (SFS), in severe violation of article 152 of the law 87-01

Vincens also proposes that it is necessary that investments of pension funds can be made in foreign currencies to ensure greater profitability in terms of assessing monetary.

Questions the fact that the sorter Commission of risks of the system is concentrated in representatives of the Government, when well can be deemed the inclusion of academics and the private sector requires full compliance with the law 87-01

In an exclusive interview, Vicens who also chaired the Dominican Patronal Confederation (Copardom), explained in details u000athe scope of the system.

Do is view the regime of social security in RD?
The implementation of the Dominican Social security system, created by Act 87-01 of May 9, 2001 is one of the most important reforms that we have made in recent decades, which came to replace the unsuccessful Act 1896 on social security.

However, 10 years of its adoption, there are many challenges remaining, aspects of the law which have to be implemented, others that are failing and distortions which seriously threaten the future of the system.

How it perceived the scope of the SS entrepreneurship?
Much of organised employers paid for some health insurance years to its employees, although there is no legal obligation in that sense.

Although in many cases these private insurance paid them the employer at a hundred percent, the entry into force of the law on Social Security, to u000aprovides quotations based on wages, but equal services for all as a form of solidarity, meant a significant increase in the cost of health insurance for their employees in addition to 70% of the price of old age, disability and survivors insurance, as well as 100% of the occupational hazards insurance.

Social security contributions mean a major burden, hence the importance that employers we grant to you to the proper functioning of the system, for which members receive all benefits to which they are entitled with quality, timeliness and guarantee of stability.

Some believe that the contribution is a tax for members, and you?
From the beginning as a representative of the employers to the National Council for Social Security, as past President of the Dominican Patronal Confederation and as a member of the National Council of private enterprise have fought to ensure that these important u000aquotes are not a tax but a compulsory for that quote members can receive the benefits of health, protection in case of accidents, disability, old age, among others, including their dependents.

the Plan of health services (PDSS) must be updated to improve their coverage, but this just may be made if the system begins to function as the law commands, accessing it through a first level of care; with a strict regulation of providers of health services and of all the actors of the system.

disadvantages encountered in practice with some aspects of family health insurance, the deficiency of services of the administrator of occupational risks (ARL health secure) and the already proven on this insurance quote, justifies that many think that it is a tax.

Almost no one takes advantage of the RD$ 3,000 annual in medicines, do not think that the cnss should? u000ado you make automatic and without list available?
This is a figure which should increase because it is clear that not enough to nothing, however paradoxically due to ignorance, because of difficulties, a high turnover of members do not make use of this right.

I had to discuss the rules of procedure for the delivery of medicines for a long time, overcoming various difficulties to achieve consensus with stakeholders of the system. However very little of it is working so I concurro and so what I have expressed to the authorities of the Superintendence of health and occupational risk that this amount is as low should agree to any affiliate of the more easily and expeditiously as possible.

the complexities of the delivery of medicines regulations make sense under a system of coverage of drug clinics.

Financial report TSS
entered the security system in October 2011 u000asocial the sum of RD$ 4,331.8 million. While disbursements to the involved institutions accounted for a total amount delivered Rd $4,279.4 million, according to the latest report from the Treasury of the Social Security (TSS).

This month, the availability was Rd $5,061.6 million, of which used RD$ 4,279.4 million to pay for the entities of the system during October, in addition to RD$ 27,110,025.84 for the ARS related SFS retirees, RD$ 541,175 to the Chilean Superintendency of occupational risks of health (Sisalril) for the account of subsidies per fine charged to supervised entities and AFP sowing amount of RD$ 1.2 million by fine reversada from the FSS by resolution of the National Council of Social Security.

The report of the TSS also says that as a result of the performed operation to return to employer paid funds in excess in the family health insurance, erogaron RD$ 292,338.44 to employers, to u000athrough a credit note. On the relationship of financial certificates for the careful consideration of the health of persons, the contributory scheme of social security to the Court of 31 October 2011 had a total investment of RD$ 6,833.0 million in banking. Investments in other areas of the SFS were RD$ 7,256.6 million, in children's rooms.

The accumulated amount in documents since June 2003 to October 2011, including fines, yields investment and pensioners contributions exceeded RD$ 209,190.5 million and payments RD$ 200,820.9 million (96 per cent of the received values).

Suggests reducing quotes on occupational
party cuestioamientos the law 87-01 have focused on the coverage of the family health insurance (SFS) and the deficits of the system.

Is missing to make the law more effective?
For this lack especially will and responsibility to apply leaving out the u000apolitical interests.

theu000du000a Family health insurance is in deficit because doctors and clinics imposed its will in 2007 and the authorities decided to initiate the SFS in violation of article 152 of the law 87-01, which provides for the primary care level as a gateway to the system.

Au000du000a Despite that employers had been warning about the deficit that would occur, has been recently that could be a resolution of the CNSS ordering compliance with article 152, which to date has had a great resistance of the service providers.

We hope that you compliance with this resolution without delay for the sake of all the members.

There areu000du000a ARS in the system that do not comply with the requirements to operate, we saw the case of Semma, currently the UASD ARS is in difficulties and the IDs has failed to implement restructuring that by law had to be done and u000astill receiving a high subsidy from the State and operating inefficiently for political reasons.

What points are pending with the business community in the SS?

Are many, but to quote just a few:
-urgent and necessary diversification of investment funds ofu000du000a pensions, which are sterilized in the Central Bank in more than 40 %u000du000a and in securities issued by the Government. these funds are fully subject to exchange rate risk Dominican pesos which makes who have not had a yield real. have advocated because it is rendered theu000du000a regulations allowing the investment of funds in foreign currency, investment guidelines established for the sorter risks Committee, focused entirely on the Government to whichu000du000a would be required include independent Academy representatives for example, be required to diversify the basket of investment

- u000aThe review of the contributions to the insurance of occupational risks, that in accordance with the actuarial studies carried out by the year 2010 is sobreestimada, and should be reduced to the half this would contribute to reducing the high burden labour and thus to contribute to the competitiveness of the productive sectors.

. The implementation ofu000du000a rules and requirements of investment in the funds accumulated by the ARL health Segura, similar to those applicable to pension funds, as it should be for guarantee of affiliated

That all sectors are listed in the system. Yet the majority of Councils tou000du000a Despite that gave him a clean slate and new account with the Amnesty Act of the year 2009 are still not in the SDSS and the Supreme Court of Justice and the PVE.

Is it so necessary intermediation of the ARS?
Ouru000du000a law contemplated this model and it has paid off. What is always obviously needed is one u000asupervision and effective regulation, which is exercised against all ARS regardless of whether they are private, public or self-management; What was not entirely the case. The behavior of remittances

sending money home from Dominicans living abroad has continued to produce, despite the crisis world.

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