EXPLANATION: To claim the retirement benefit, the

member must submit a retirement application

1. PRIMARY FUNCTIONS
form and other necessary documents, including
LIFE INSURANCE BENEFIT proof of age and length of service. The
retirement benefit may be paid in a lump sum
The Government Service Insurance or in monthly pension payments, depending on
System (GSIS) in the Philippines provides life the member's preference.
insurance benefits to its members and their
beneficiaries. The amount of life insurance DISABILITY BENEFIT
coverage depends on the member's salary, with
The Government Service Insurance
a minimum of ₱ 500,000 and a maximum of ₱ 5
System (GSIS) in the Philippines provides
million. If a member dies while in active service,
disability benefits to its members who become
his or her beneficiaries are entitled to receive
permanently and totally disabled due to
the following benefits: life insurance benefit,
sickness or injury.
Survivorship pension, and funeral benefit.
To qualify for disability benefits, the
To claim these benefits, the
member must have at least three years of
beneficiaries must submit the necessary
service and not have reached the compulsory
documents to the GSIS, including the death
retirement age of 60.
certificate of the member and the claimant's
birth certificate and valid IDs. The amount of disability benefit that a
member can receive depends on the degree of
RETIREMENT BENEFIT
disability, as determined by the GSIS Medical
The Government Service Insurance Board.
System (GSIS) in the Philippines provides
The benefit is equivalent to the
retirement benefits to its members who have
member's basic monthly salary multiplied by
reached the age of 60, or those who are at least
the degree of disability, as follows:
55 years old and have completed at least 15
years of service. 100% degree of disability: 100% of basic
monthly salary
The amount of retirement benefit that a
member can receive depends on their length of 75% to less than 100% degree of disability: 75%
service and average monthly salary. The of basic monthly salary
formula for computing the retirement benefit is
50% to less than 75% degree of disability: 50%
as follows:
of basic monthly salary
Retirement Benefit = Average Monthly Salary
25% to less than 50% degree of disability: 25%
x Length of Service x Multiplier, the multiplier
of basic monthly salary.
is based on the number of years of service
completed by the member, as follows: In addition to the disability benefit, the
member may also be entitled to a life insurance
1.5 for the first 10 years of service
benefit, if he or she has life insurance coverage
2.0 for the next 10 years of service with the GSIS. To claim disability benefits, the
member must submit a disability application
2.5 for every year of service beyond 20 years.
form and other necessary documents, including
medical records and the GSIS Medical Board's
assessment of the degree of disability.
MEDICARE BENEFITS
GSIS provides Medicare benefits to its
members and their qualified dependents.
Medicare is a health insurance program that
covers medical expenses, including
hospitalization, outpatient care, laboratory
tests, and other medical services.
To qualify for Medicare benefits, the
member must have at least 15 years of service
and must be receiving regular monthly pension
or disability benefits from the GSIS. The
member's qualified dependents, including his or
her spouse and unmarried children below 21
years old, are also entitled to Medicare
benefits.
The benefits include inpatient hospital
care, outpatient care, preventive services, and
prescription drugs.
To avail of Medicare benefits, the
member and his or her qualified dependents
must enroll in the GSIS Medicare program and
pay the required premiums. The amount of
premiums depends on the member's pension or
disability benefit, as well as the number of
qualified dependents enrolled in the program.
SURVIVORS BENEFIT
The Government Service Insurance
System (GSIS) in the Philippines provides
survivor benefits to the beneficiaries of its
members who have died while in active service
or after retirement.
These benefits include a survivor's
pension, a life insurance benefit, a funeral
benefit, and a retirement benefit.
A survivorship pension is a monthly
pension equivalent to 50% of the member's
latest monthly salary for the rest of his or her
life.
Life insurance benefit is the full amount
of the member's life insurance coverage.
The funeral benefit is equivalent to one
year's salary for the member, with a minimum
of ₱ 20,000 and a maximum of ₱ 50,000.
The retirement benefit is the remaining
balance of the retirement benefit if the member
has not yet received his or her full retirement
benefit.
To claim survivor benefits, the
beneficiaries must submit the necessary
documents to the GSIS, including the death
certificate of the member and the claimant's
birth certificate and valid IDs. The GSIS will then
process the claim and notify the beneficiaries of
the amount of benefits they are entitled to
receive.
SECONDARY FUNCTIONS
POLICY LOANS
The Government Service Insurance
System (GSIS) in the Philippines allows its
members to avail of policy loans against their
life insurance policies.
To qualify for a policy loan, the member
must have an existing life insurance policy with
the GSIS and have paid at least three years'
worth of premiums.
The interest rate for policy loans is
currently set at 8% per annum, and the loan is
payable in equal monthly installments over a
period of one year.
To apply for a policy loan, the member
must submit a loan application form and other
necessary documents, including a valid ID and
the policy contract. The GSIS will then process
the loan application and notify the member of
the amount of the loan.
 It is important to note that policy loans
are subject to certain restrictions and
conditions, and the member must repay the
loan on time to avoid penalties and possible
cancellation of the insurance policy.
SALARY LOANS
The Government Service Insurance
System (GSIS) in the Philippines offers salary
loans to its active members who are currently
employed by a government agency.
To qualify for a salary loan, the member
must have at least six months of paid premiums
and not be on leave of absence without pay.
The loan amount depends on the
member's monthly salary and the length of
service, as follows:
For those with less than 10 years of service: Up
to one month's salary
for those with at least 10 years of service: Up to
three months' salary.
To apply for a salary loan, the member
must submit a loan application form and other
necessary documents, including a valid ID and
proof of income. The GSIS will then process the
loan application and notify the member of the
amount of the loan. It is important to note that
salary loans are subject to certain restrictions
and conditions, and the member must make
sure to repay the loan on time to avoid
penalties and possible legal action.
EDUCATIONAL ASSISTANCE LOANS
The Government Service Insurance
System (GSIS) in the Philippines offers
educational assistance loans to its members
who are currently employed by a government
agency and have at least three years of service.
The maximum amount of the loan is
Php 100,000 per academic year and the interest
rate is set at 8% per annum.
To apply for an educational assistance
loan, the member must submit a loan
application form and other necessary
documents, such as a valid ID, proof of
enrollment or admission, and a certification
from the school indicating the amount of tuition
and other expenses. The GSIS will then process
the loan application and notify the member of
the amount of the loan. It is important to note
that educational assistance loans are subject to
certain restrictions and conditions, and the
member must make sure to repay the loan on
time to avoid penalties and possible legal
action.
FLY-PAL PAY-LATER PLAN
SNPL is an educational assistance
program implemented by the Government
Service Insurance System, together with the
Social Security System, the Philippine National
Bank, the Development Bank of the Philippines,
and the Land Bank of the Philippines, in
compliance with Presidential Decree (PD) No.
932 dated 13 May 1976 (Educational Assistance
Act of 1976). The program later evolved into the
Educational Assistance Loan (EAL), which was
approved under Republic Act (RA) 6728 in 1988
and amended by RA 8545 in 1998.
A similar credit facility for travel
assistance was offered by GSIS under the Fly
PAL, Pay Later (FPPL) Program, which was
approved by the Board under Board Resolution
No. 637 dated 29 August 1978 and
implemented under Policies and Procedural
Guidelines (PPG) No. 48-78 (a) dated 7
December 1978 and No. 48-78 (b) dated 31
October 1979. The program was implemented
from 1978 to 1989.
SALE OF HOUSING UNITS
The Government Service Insurance
System (GSIS) in the Philippines offers housing
units for sale to its members at affordable
prices through its GSIS Affordable Housing
Program (GAHP).
The GAHP aims to provide affordable
housing to active GSIS members, retirees, and
pensioners, as well as their immediate family
members, who are first-time homebuyers. The
housing units are located in various areas across
the Philippines and are sold at prices that are
lower than market rates.
To qualify for the GAHP, the member
must have an active GSIS membership and must
not have any outstanding loan obligations with
the GSIS. The member must also be able to
provide the required down payment and must
have the capacity to pay the monthly
amortization.
The housing units offered under the
GAHP range from socialized housing units to
low-cost housing units, depending on the
member's income and financial capacity. The
member may choose from a variety of housing
options, including single-attached units,
townhouses, and condominium units.
To apply for a housing unit under the
GAHP, the member must submit a housing loan
application form and other necessary
documents, including a valid ID, proof of
income, and proof of billing. The GSIS will then
process the loan application and notify the
member of the availability of housing units that
match his or her preferences and financial
capabilities.
It is important to note that the sale of housing
units under the GAHP is subject to certain
conditions and restrictions, and the member
must make sure to comply with the terms of the
loan agreement to avoid penalties and possible
legal action.
SUPPORTIVE FUNCTIONS
The Government Service Insurance
System (GSIS) in the Philippines has several
supportive functions, including investment in
loans for housing and real estate, investment in
stocks, bonds, treasury and promissory notes,
production and sale of non-compulsory
insurance policies, and general insurance and
reinsurance businesses.
1. Investment in loans for housing and
real estate: The GSIS invests in loans for
housing and real estate to help provide
affordable housing options to its
members. It offers housing loans at low-
interest rates and has also established
the GSIS Affordable Housing Program
(GAHP) to provide affordable housing
units to its members.
2. Investment in stocks, bonds, treasury,
and promissory notes: The GSIS invests
in stocks, bonds, treasury and
promissory notes, and other financial
instruments to generate income and
provide returns to its members. It
invests in both government and private
securities, as well as money market
placements to diversify its investment
portfolio.
3. Production and sale of non-compulsory
insurance policies: The GSIS produces
and sells non-compulsory insurance
policies to its members, including car
insurance, personal accident insurance,
and travel insurance. These policies are
optional and are designed to provide
additional protection to members and
their families.
 4. General insurance and reinsurance
businesses: The GSIS also operates a
general insurance and reinsurance
business, which offers insurance
coverage for various types of risks,
including fire, marine, motor, and
personal accident insurance. It provides
insurance coverage to both government
agencies and private companies and
individuals, helping to mitigate the
impact of losses and damages caused
by unforeseen events.
Overall, these supportive functions help the
GSIS provide a wide range of benefits and
services to its members, enabling them to
achieve financial stability and security.
BENEFITS FOR GSIS Members (PD No. 1146)
1. Retirement benefits – Old-age pension
shall be paid to a member who:
a. has at least fifteen years of
service;
b. is at least sixty years of age; and
c. is separated from the service.
2. Permanent disability benefits – A
member shall be entitled to the
permanent disability benefits effective
from the date of his disability, provided
that:
 nakapagbayad na siya ng hindi
bababa sa 36 buwanang
kontribusyon sa loob ng limang-
taong-taon bago ang kanyang
kakayahan;
 nakapagbayad na siya ng
kabuuang hindi bababa sa 180
buwanang kontribusyon bago
siya nagkaroon ng kapansanan;
at
 his disability is not compensable
under any other law.
3. Survivorship benefits – When a
member or pensioner dies, the
beneficiary shall be entitled to
survivorship benefits.
The survivorship pension shall consist of:
a. basic survivorship pension
which is 50% of the basic
monthly pension; and
b. dependent’s pension not
exceeding 50% of the monthly
pension payable in accordance
with the rules and regulations
prescribed by the system.
4. Funeral benefit – A funeral benefit of
P10,000 shall be paid upon the death of
a member or pensioner.
5. Sickness benefits – A member who
suffers a non-work-connected sickness
or injury resulting in temporary total
disability is entitled to 90% of his
current daily compensation for each day
or fraction thereof of sickness or injury,
but not exceeding sixty days in one
calendar year after exhausting all his
sick leave credits. However, the
member cannot enjoy the sickness
income benefits and sick leave pay at
the same time. The sickness income
benefit is neither less than P10 nor
more than P175.
6. Life Insurance benefits – All employees
shall be compulsorily covered with life
insurance which shall automatically
take as follows:
 a. For those employed after his
act, their insurance shall take
effect on the date of their
employment.
Para sa mga nagtatrabaho pagkatapos ng
kanyang gawain, ang kanilang insurance ay
magkakabisa sa petsa ng kanilang trabaho.
B. For those whose insurance matured and
not renewed prior to this act, their
insurance shall be deemed renewed on
the day following the effectivity of this
act.
Para sa mga taong ang insurance ay matured at
hindi nanibago bago ang batas na ito, ang
kanilang insurance ay ituturing na panibagong
sa araw kasunod ng pagiging epektibo ng batas
na ito
C. For those whose insurance will mature
or will expire after this act, their
insurance shall be deemed renewed on
the day following the maturity or expiry
date of their previous insurance.
Para sa mga taong ang insurance ay mature o
mag e expire pagkatapos ng batas na ito, ang
kanilang insurance ay ituturing na renewed sa
araw kasunod ng maturity o expiry date ng
kanilang nakaraang insurance.
D. For those without any life insurance
as of the effectivity of this act, their insurance
shall take effect on the day following said
effectivity.
Para sa mga walang anumang seguro sa buhay
bilang ng pagiging epektibo ng batas na ito, ang
kanilang seguro ay magkakabisa sa araw
kasunod ng nasabing pagiging epektibo.
*The monthly contributions of employees and
employers in the Government Service Insurance
System (GSIS) in the Philippines depend on the
employee's salary grade and employment
status.
(Read the table)
For employees with a temporary or
contractual status, the employer and employee
are required to contribute based on their actual
salary or compensation.
It is important to note that GSIS
contributions are mandatory for all government
employees, and failure to remit the correct
amount of contributions may result in penalties
and other legal consequences.
SOCIAL SECURITY SYSTEM
The Social Security System (SSS) started
operations in 1957 with 211 personnel and
assets of P6,372. It granted death, disability,
sickness, and old-age benefits to workers in the
private sector.
Over the years, additional benefits have been
incorporated into the scheme, such as
hospitalization benefits, employee
compensation benefits, and maternity benefits.
SSS provides seven out of the nine benefits
endorsed by the International Social Security
Association (ISSA).
The International Social Security Association
(ISSA) is a global organization that brings
together national social security institutions,
agencies, and organizations from around the
world to promote social security as a basic
human right and improve the quality of social
security programs and services. It was founded
in 1927 and has over 330 member organizations
from more than 160 countries.
The ISSA provides a forum for its
members to share knowledge, best practices,
and experiences in the design, implementation,
and management of social security systems.
 It is organized into four specialized
sections: Social Security for Workers in the
Informal Economy, Administrative Issues and
Financing, Prevention in the Workplace, and
Employment Policies and Unemployment
Insurance.
The ISSA plays an important role in
promoting social security as a basic human right
and supporting its members in their efforts to
provide effective, efficient, and sustainable
social security programs and services.
Family allowance and unemployment insurance
are the other benefits not yet implemented in
the country.
SSS ADMINISTRATION
The Social Security System (SSS) is a
government agency in the Philippines
responsible for providing social security
protection to Filipino workers and their families.
The SSS is administered by a Board of Directors,
which is composed of the following:
1. The Secretary of Finance, who serves as
the ex officio chairperson of the board.
2. The Director-General of the National
Economic and Development Authority
(NEDA), who serves as the vice-
chairperson.
social security protection for Filipino workers
and their families. The Board is also responsible
for the management and investment of the SSS
funds to ensure the sustainability of the social
security system.
The SSS is headed by a President and
Chief Executive Officer (CEO), who is appointed
by the President of the Philippines. The CEO is
responsible for the day-to-day management of
the SSS, including the implementation of
policies, programs, and services approved by
the Board of Directors.
The Philippines' government has
appointed Rolando L. Macasaet as acting
president and chief executive officer of the
Social Security System (SSS).
Under the CEO, the SSS is organized into
various departments, divisions, and units
responsible for specific functions such as
contributions collection, benefits processing,
information technology, finance and
investments, legal services, and public affairs.
These departments work together to ensure the
effective and efficient delivery of social security
services to SSS members and their beneficiaries.

3. The Secretary of Labor and

Employment.

4. Two members representing the

employer’s sector.

5. Two members representing the

employees’ sector; and

6. One member representing the self-

employed sector.

The SSS Board of Directors is responsible for

setting policies, issuing rules and regulations,
and approving programs and services related to