Rights of insured persons
Any working individual has the right to insure in only one universal pension fund. It is important for you to know that if you do not choose yourself which company is to manage your funds for a second pension up to three months after you start your first job, you will be administratively assigned to one of the companies operating in the country. The contributions for your second pension will be transferred to that company. It is important that you choose a company, which will manage your funds with responsibility and professionally in the years before you retire.
The amounts accumulated in your individual account can be transferred to another pension fund if one year has passed after signing the first insurance agreement (or after the date of your assignment) or one year after the last transfer.
Persons born after December 31, 1959 (according to changes in the Social Security Code adopted end of July 2015) who are insured with a universal pension fund can change funds and direct their pension insurance contributions to the state Fund “Pensions” (to Fund “Pensions for persons according to article 69 of the Social Security Code*”, respectively). The insured persons can make this choice after at least one year has passed from the time they started insuring with a universal pension fund.
Switch of participation in a universal pension fund to Fund “Pensions” (to Fund “Pensions for persons according to article 69 of the Social Security Code*”, respectively) and back can be made repeatedly but at least one year since the last change of participation. The final choice should be made not later than five years before completing the age for retirement according to art. 68, line 1 of the Social Security Code and if a pension for insurable service and age has not been granted.
In case of transfer from a universal pension fund to Fund “Pensions” (to Fund “Pensions for persons according to article 69*”, respectively), of the State Social Security. The amount accumulated on the individual account of the person insured with a universal pension fund are transferred to the “State Fund for Guaranteeing the Sustainability of the State Pension System” (also called “Silver Fund”).
After changing the participation, the insurance contribution of the person to the Fund “Pensions” (to the Fund “Pensions for persons according to article 69*”, respectively), is increased by the amount of the insurance contribution which has, to this moment, been transferred to a universal pension fund.
If the person decides to switch his/ her participation from the Fund “Pensions” (from the Fund “Pensions for persons according to article 69*”, respectively) to a universal pension fund, in case there are amounts transferred for him/ her to the Silver Fund, these funds are transferred back to his/ her individual insurance account with the universal fund he/ she has chosen.
In case of back transfer of amounts from the Silver Fund to a universal pension fund, only the nominal value of the funds is transferred that have been deposited before that from the universal pension fund to the Silver Fund, irrespective of the date of transfer or the size of the contributions paid by the insured in the meantime.
* For members of the armed forces according to the Republic of Bulgaria Defence and Armed Forces Act and for state officers according to Ministry of the Internal Affairs Act and the Implementation of Penal Sanctions Act and Law for Arrest and investigation.
- Free of charge information regarding the amount accumulated in your individual insurance account, the insurance contributions deposited, the yield realized through investments by the company, the fees and deductions withheld by the company.
- Statement from individual insurance account for the previous year, which is posted by May 31st every year.