A Statement In Response To A Letter Published In Outsyed The Box Blog Spot On July 13 2019

---

MEDIA STATEMENT

A STATEMENT IN RESPONSE TO A LETTER PUBLISHED IN “OUTSYED THE BOX” BLOG SPOT ON JULY 13, 2019

SOCSO wishes to thank Mr. John P. for his comments in the letter to OUTSYED THE BOX.
Our response will be as follows: -

BENEFITS UNDER THE SELF-EMPLOYMENT SOCIAL SECURITY SCHEME:

A. Medical Benefit

1.    Self-employed insured persons suffering from self-employment injuries or occupational diseases may receive free medical treatment at SOCSO panel clinic / government hospital; or self-employed insured persons can claim for reimbursement of expenses incurred in respect of medical treatment at SOCSO non-panel clinic.
2.    Application can be made to SOCSO and the reimbursement is subject to such conditions as determined by the organisation or according to Fees Act 1951.

B. Temporary Disablement Benefit

1.    Temporary Disablement Benefit is paid for the period the self-employed insured persons is on medical leave certified by a doctor for not less than (4) days including the day of accident.
2.    Need to submit medical certificate (mc)
3.    The minimum rate is RM30.00 per day while the maximum rate is RM105.33 per day.

C. Permanent Disablement Benefit
1.    Self-employed insured persons who suffer from permanent disability due to self-employment injury can apply for this benefit.
2.    The rate of Permanent Disablement Benefit is 90% of the selected insured monthly earning.
3.    Example of the calculation of Permanent Disablement Benefit (lump sum payment): if the assessment is 20%, the age factor is 8873 (below 20 age) and the contribution rate is RM592.80. = (RM 3,950 × 90% ÷ 30 Days) × 20% × 8873 = RM 210,290.10

D. Constant-Attendance Allowance
1.    This allowance is paid to self-employed insured person who is suffering from total permanent disablement as a result of self-employment injury and is so severely incapacitated as to constantly require the personal attendance of another person, certified by Medical Assessor or the Appellate Medical Board.
2.    The allowance is fixed at RM500 per month

 E. Dependants’ Benefit

1.    If the self-employed insured person dies as a result of self-employment injury, his dependant shall be entitled to  Dependants’ Benefit.

2.    A payment of 90% from selected insured monthly earning.

3.    Eligible dependants are widow or widower and child under 21 years old. If there are no widow, widower or child; a) Parents; or b) Brothers or sisters below 21 years old; or c) Grandparents

4.    Widow / widower, parents, grandparents receive lifetime benefits.

5.    Eligible child will receive benefit up to age 21 or marriage (whichever occurs earlier). If the child is currently studying in an institute of higher learning, he/she will receive the benefit until the completion of the first degree or marriage (whichever occurs earlier).

F. Funeral Benefit

1.    To be paid to the eligible person if the self-employed insured person dies as a result of self-employment injury or while receiving Permanent Disablement Benefit.
2.    The amount paid will be the actual amount incurred or RM2,000 whichever is lower.

G. Education Benefit

This benefit is in the form of loans that may be provided to a dependant child of self-employed insured person who dies as a result of self-employment injury or receiving of periodical payments of Permanent Disablement Benefit.

H. Physical / Vocational Rehabilitation Facilities

1.    Physical rehabilitation and vocational rehabilitation are provided free of charge.
2.    Physical rehabilitation includes physiotherapy, occupational therapy, reconstructive surgery, supply of prosthetics, orthotics and other appliances, supply of orthopaedics apparatus such as wheelchair, crutches, hearing aid, spectacles, special shoes and others.
3.    Vocational rehabilitation such as electrical, sewing, radio repair and others.

To Mr. John P.’s question on the type of coverage that the taxi driver is entitled to, SOCSO will pay for all his medical charges until the contributor is fully recovered/healed. With that kind of injury, although he was discharged after three days, it needs some time to heal. Upon submission of Medical Certificate (MC), he is entitled to claim for Temporary Disablement Benefit. The minimum rate is RM30.00 per day while the maximum rate is RM105.33 per day. Apart from that, SOCSO provides facilities for physical or vocational rehabilitation. If the contributor suffers from permanent injuries, he is also entitled to claim for Permanent Disablement Benefit.

For cases where SOCSO contributors / taxi drivers die on the spot, the dependants are entitled to claim for Dependants’ Benefit and Funeral Benefit. In fact, their children are eligible to apply for Education Benefit (terms & conditions apply). Payment to dependants will be in the form of monthly pension. There is no limit to the number of children below the age of 21.

Self-Employment Social Security Scheme is a state social security. Hence, the entitlement for the benefits is only for dependants or persons named in the Self-Employment Social Security Act 2017 (Act 789). It is different as compared to insurance policy where you can name the beneficiaries.

Under Act 789, a dependant of insured person is a widow or widower from their marriage under the Law Reform (Marriage & Divorce) Act 1976 (Act 164). Hence, a partner of insured person without a valid marriage relationship as specified under Act 164 does not fall under the definition of a dependant under Act 789.

A good example of dependants benefiting from Self-Employment Social Security Scheme is in the case of Nyak Fauzul Abdul Aziz. The taxi driver passed away on 24th September  2018, 25 days after he registered with  SOCSO under the scheme. His dependants (wife and 3 children) received Funeral Benefit last year and are currently receiving a monthly pension of RM3,555.00.

Another example is benefits received by Puan Arison Yacob. The Klang Valley lady taxi driver suffered broken backbone after an accident on 8 May 2019. She had surgery and spinal implant and all expenses were fully borne by SOCSO. The surgery cost was RM22,790.  Aside from that, Arison also received a Jewett brace (rehabilitation aid) and a Temporary Disablement Benefit payment of RM840.00.

On the other hand, dependants of three Grab drivers that were murdered in Sabah and Selangor would have received benefits from SOCSO if only the drivers registered and contributed to the Self-Employment Social Security Scheme. Unfortunately, the three drivers did not do so.

The concept of SOCSO Social Security Protection is based on joint responsibility through the pooling of resources, sharing of risk and replacement of income. Social Security is a basic need that must be fulfilled as agreed upon in the International Labour Organisation Geneva Convention 1952, namely C102 – Social Security (Minimum Standards) Convention.

It is clear that the contributions collected by SOCSO are utilised to provide social security protection to contributors and their dependants in the event of accidents or occupational diseases. SOCSO’s social security schemes are not meant to burden the rakyat but instead they take care of rakyat’s welfare should mishaps befell them.
We hope that these explanations satisfy Mr. John P.

SOCIAL SECURITY ORGANISATION

Posted by Syed Akbar Ali 

---