A Brief Overview of Social Insurance Law No. (1) of 2022

In furtherance of the principle of social solidarity enshrined in the Permanent Constitution of the State of Qatar, the legislature enacted Law No. (1) of 2022 on Social Insurance with the objective of providing social protection and preserving the stability of society in cases of old age, disability, death, or loss of earning capacity. The Law establishes a legal framework administered and supervised by the General Retirement and Social Insurance Authority (GRSIA).

This raises a number of important questions: Who is an insured person? Who is subject to the provisions of this Law? And what is the status of persons who were insured before the Law came into force?

The following is a brief overview:

An insured person is any Qatari national working in the public sector, the private sector, or on a self-employed basis, for whom social insurance contributions are paid either by the employer or by the individual personally, in accordance with the provisions and requirements of the Law.

Pursuant to Article (2) of the Law, its provisions apply compulsorily to Qatari nationals belonging to the following categories:

1. Employees of ministries, other governmental bodies, public authorities, and public institutions.
2. Employees governed by special employment laws, regulations, or personnel systems, as these two categories constitute the public sector.

With respect to the private sector, the Law applies to:

1. Employees subject to the provisions of the Labour Law.
2. Employees of companies and establishments exempt from the Labour Law that operate under their own employment regulations, excluding members of the employer’s family, including spouses, ascendants, and descendants.

For the Law to apply to the above categories, the following conditions must be satisfied:

1. The individual must be a Qatari national.
2. The insured person must be at least eighteen (18) Gregorian years of age.
3. The employment relationship must be regular, in a permanent position, and for a period of not less than one year, whether continuous or intermittent.

The Law also applies, on an optional basis and subject to its conditions and regulations, to Qatari nationals who are self-employed under the Income Bracket Scheme.

What is meant by the Income Bracket Scheme?

The Income Bracket Scheme is an insurance system chosen voluntarily by the insured person. It is based on an estimated income, upon which the monthly insurance contribution is calculated.

The applicable contribution rate is 21%. The categories eligible for this scheme, together with the conditions, procedures governing participation, pension calculation, and circumstances in which participation may be cancelled, are determined by a resolution of the Council of Ministers.

• The Council of Ministers has issued Resolution No. (11) of 2024 concerning early retirement. A further resolution specifying the categories eligible under the Income Bracket Scheme is currently in preparation.

Persons who were insured before the enactment of the Law shall retain their existing insurance status. However, the following measures must be undertaken:

(a) The salary used for calculating insurance contributions must be fixed. This consists of the insured person’s basic salary or wage together with the social allowance and housing allowance, in accordance with the provisions of the Law.

(b) Their status must be adjusted immediately upon the issuance of the relevant Council of Ministers Resolution.

(c) Any financial differences relating to insurance contribution calculations must be settled.

In conclusion, this Law represents a significant advancement in Qatar’s social insurance system for its citizens, reinforcing the constitutional principle of social solidarity by safeguarding individuals against the loss of earning capacity and providing financial security upon retirement, thereby promoting social welfare and mutual support.

“And cooperate in righteousness and piety, but do not cooperate in sin and aggression.”

(Surah Al-Ma’idah, Verse 2)