With a clear message in favor of strengthening the second pillar of social security and references to the upcoming reforms for occupational insurance, the Minister of Labor and Social Security, Niki Kerameos, participated as the keynote speaker at the “7th Occupational Insurance Conference - #ocin26,” representing the President of the Hellenic Government.
The conference, which this year focused on the theme “Occupational Insurance at the Heart of the European Strategy for Savings and Investments,” highlighted the European and domestic challenges facing the future of pensions, the role of long-term savings, and the contribution of occupational pension funds to economic resilience.
In her remarks, the minister recalled that the further development of occupational insurance had already been identified as a priority at last year’s conference and noted that the government is now moving on to the next step in the reform process.
“In the new bill we will present to the Council of Ministers, our proposal reflects the conviction that occupational insurance funds must play a very important role in our country in the coming years,” she stated.
Ms. Kerameos emphasized that Greece currently continues to have a particularly low penetration rate for occupational insurance, as the assets of the -voluntary insurance- Occupational Insurance Funds account for less than 1% of Greek GDP, whereas in OECD countries with mature and developed second-pillar systems, the corresponding average percentage approaches 50%, while there are countries where this percentage reaches as high as 120% of their GDP.
As he emphasized, the ongoing discussion at the European level regarding increasing savings and mobilizing investment capital presents a significant opportunity for the country.
“A major discussion is underway across Europe on how to increase savings and investments. In this context, occupational insurance is the answer—it provides solutions,” he noted.
At the same time, he made it clear that strengthening the first pillar of social security remains a steadfast government priority, while pointing out that the long-term sustainability of the system also requires the substantial development of supplementary pillars.
In this context, he presented the key guidelines of the new institutional framework for Occupational Insurance Funds:
- Greater flexibility and simplification of procedures, so that more companies can participate in the new “Open” Occupational Insurance Funds, which will operate as umbrella funds under the supervision of the Bank of Greece.
- Enhancing the attractiveness of the system through measures that take age into account—rather than solely the number of years of insurance coverage—and by enabling T.E.A.s to offer health programs.
- Strengthening the protection of insured individuals through full portability of rights and the ability to transfer pension plans between Occupational Insurance Funds and Group Occupational Pension Insurance Products.
He placed particular emphasis on the need to build trust and inform citizens about how supplementary pension schemes operate.
“The first battle is to convey the message of the importance of supplementary insurance pillars,” she noted.
Concluding her speech, the minister emphasized that occupational insurance concerns not only the social security system but also, more broadly, citizens’ quality of life and the competitiveness of the economy.
“Today we are facing a great opportunity to strengthen the second pillar of social security, and we will work consistently toward this goal,” he noted, calling on the Hellenic Association of Occupational Insurance Funds to actively contribute both to shaping the new framework and to effectively communicating it to the public.