6 advantages that make the retirement pension the ideal choice for the insured and his family

The General Authority for Pensions and Social Security has confirmed that the pension remains the safest and most stable foundation for ensuring a decent life for citizens after the end of their job service. In light of the multiple end-of-service entitlements for the insured in the retirement system, six basic advantages stand out that make the pension the best option for the insured citizens and their families.

Pension is an acquired right

One of the most important advantages available in the retirement pension is that it is an acquired right under the law that arises as a result of participation in the social insurance system through the payment of contributions, the largest percentage of which is borne by the employer, in exchange for a smaller percentage borne by the insured. It is not a grant like social assistance that is paid to people who are unable to support themselves and do not have a source of fixed income.

The quality of continuity

The retirement pension is a fixed monthly amount paid to the employee for life after the end of his service, whether by reaching old age, death, or exposure to any medical condition such as disability, injuries, or occupational diseases that limit his ability to continue working. The pension continues to be paid without restrictions or conditions as long as the pensioner or his family’s dependents meet the conditions for continuing its disbursement.

An annuity is a long-term investment

The pension is considered an investment in many ways. In exchange for a small portion deducted from the salary for a specific period, the insured enjoys receiving the pension for endless periods. The pension percentage also increases after a certain period of service in varying proportions according to the law to which the insured is subject, which contributes to improving his pension percentage upon retirement. The insured whose period of service exceeds 35 years is also paid upon his retirement a reward equivalent to three salaries from the pension account for each year. Spending a longer period of time participating in insurance also contributes to enabling the insured to Combining the pension with any salary received from any other party in the country if the terms and conditions are met. All of these reasons make the pension a long-term investment in the individual’s retirement future.

Extending inclusion to those who deserve it

Once the insured participates in the insurance, the umbrella of insurance protection extends to his family, so that if he dies while he is covered by the insurance, the pension disbursement extends to those eligible from his family as if he were alive. With the expansion of coverage, this pension may extend to many members of the insured’s family or the pensioner, and its disbursement may extend to long decades, providing a wide and more comprehensive safety net.

Comprehensive protection from risks

The pension provides comprehensive protection from natural risks such as old age, death, and unnatural risks such as disability, injuries, and occupational diseases, whether those that occur at or outside the workplace, and even while going to or returning from work. This is something that cannot be compared to individual investments that may end with the death of its owner without ensuring continuity of income for his family..

The principle of interdependence and solidarity between individuals

The retirement system in the UAE is based on the principle of solidarity and interdependence among participants, as working generations today contribute to financing retirees’ pensions, which ensures the sustainability of rights for all. The system also achieves equality among participants regardless of their ability to save, and the contribution is not affected by the duration of insurance subscription, which embodies community solidarity in its finest form.