VSS urged to further expand social security coverage

Hanoi (VNA) – Vietnam has basically achieved the target of health insurance for all, but it still needs to further expand the coverage of social insurance, according to Prime Minister Nguyen Xuan Phuc.

The Government leader made the request at a teleconference held by the Vietnam Social Security (VSS) in Hanoi on February 15 that reviewed the 25-year implementation of social and health insurance policies.

Highlighting the VSS’ role as the main pillar in the social security system over the last 25 years, he noted that while Vietnam is still a lower-middle-income country with per capita income of over 2,800 USD in 2019, the average life expectancy of Vietnamese people has surpassed 73.6, which is high compared to the global average, and the multidimensional household poverty rate has been brought down to under 4 percent.

He also praised the VSS’s efforts to accelerate reforms in delivering administrative services and apply information technology, saying that the agency has cut three fourth of its administrative procedures and developed a digital database on social and health insurances. These moves have improved the transparency and effectiveness of its operation while helping people and enterprises save costs, he said.

As of the end of 2019, social insurance had covered nearly 15.8 million people, equivalent to 32.3 percent of the workforce, and health insurance nearly 86 million people, or 90 percent of the country’s population.

The number of voluntary social insurance holders rose significanly to 574,000 last year, over 300,000 higher than the previous year.

The Vietnam Social Security accelerates services reforms and use of information technology. (Photo: VietnamPlus)

About 97 million people have been provided with a social security number, including 86 health insurance holders. Almost all hospitals and medical facilities nationwide have been connected with the VSS’s health insurance information verification system to prevent frauds and enable the VSS to better monitor medical service delivery.

Given this, Vietnam has basically achieved the target of health insurance for all ahead of schedule, the PM said, adding that it took some developed nations 40 – 80 years to attain universal health insurance coverage.

Caring for people’s lives, health and prosperity is the responsibility of the Party and State, and it is necessary to have a social security system that covers all people and matches international standards. To that end, social insurance coverage must be expanded, he emphasised.

He pointed out that as only one-third of labourers nationwide have taken part in social insurance, the target is still far away. Stronger efforts are needed to raise the social insurance coverage to 35 percent in 2021 and 45 percent in 2025 as targeted in Resolution 28 of the Party Central Committee.

At the meeting, PM Phuc requested regular overhauls of social and health insurance policies and laws in line with international practices, stronger administrative procedure reforms, completion of the national database on insurance, better connection and information sharing among ministries and sectors, and processing of administrative procedures on the National e-Document Exchange Platform to help build an e-Government.

VSS General Director Nguyen Thi Minh vowed to further expand social and health insurance coverage in the coming time, with the priority given to encouraging people to sign up for voluntary social insurance and household health insurance schemes.

[Reforms to ensure social insurance key pillar in social security system]

Last year, the VSS slashed the social insurance debt to about 6 trillion VND (257.5 million USD), equivalent to 1.6 percent of the total premiums, the lowest in 25 years, she said.

She went on to say that the VSS plans to further beef up inspection to promptly detect and prevent frauds. It will also continue reforming social and health insurance services and promote use of information technology in its operation, she added.

PM Phuc took the occasion to award the VSS with the Government emulation flag and General Director Minh with a third-class Labour Order in recognition for their contributions in the country’s social welfare development./.