The 7th Actuarial Review Recommendations

Increased Benefits and Contributions

In January 2008, the recommendations arising out of the Seventh Actuarial Review were implemented. This led to a 100% increase in the minimum retirement pension payable, from $1,000 to $2,000. Other benefits increased by approximately 25%. The response from our customers has been positive and is best reflected by the words of one our retirees:

"I urge all workers to make sure that your NIS contributions are being paid by your employer. There are great benefits when you reach my age (60 years) or f you are disabled. Thank you, NIS, not only for the financial cover you have given me, but also for the umbrella that keeps me covered during the rainy seasons."

Kenneth Fitzpatrick, Retiree
Excerpt from Trinidad Guardian, Monday June 30, 2008.
Improving Service

Recommendations

Improved Benefits for Workers

Improved Coverage

New Benefit Rates

New Contribution Rates Effective from January 07, 2008

Impact on value of Contributions already Paid

Impact of Contribution Rates Increase

Conclusion

The Board of Directors of the NIBTT concludes that the recommendations arising out of the 7th Actuarial Review seek to ensure that the greatest good is provided to the most number of stakeholders, within the context of affordability, fiscal responsibility and administrative feasibility.

In this regard, the NIBTT views the early implementation of these recommendations as key to ensuring the effective fulfillment of the NIBTT and Government of Trinidad and Tobago (GOTT) obligations to current and future contributors and beneficiaries.

Continual improvement of the NIS is a key component of strengthening the social protection of citizens which represents a major human developmental objective within GOTT objectives to achieve developed country status by 2020.

Prudent management practices dictate that the NIBTT continue to actively pursue appropriate risk management strategies and investment management strategies to safeguard the financial longevity of the NIS for future generations.

The proposed changes to the NI Act will work to strengthen the financial protection provided to insured persons and their dependents throughout Trinidad and Tobago who depend on the NIS in their time of greatest need.

In this way, the NIBTT can continue to perform its social insurance responsibilities to the country’s working population, as it discharges its role as a solid financial partner in the nation’s social security landscape.