What is Social Security?

The content of the benefits and obligations under social security is defined by each individual county under its domestic legislation. This defines both the rights obtained by the individuals impacted by the coverage, and the obligations of the employer and employee to pay contributions.

In Denmark social security can include medical treatment, hospitalization, child allowance, sickness benefits, public pensions, etc. In other countries unemployment benefits may be part of the public cover. Benefits and access to benefits vary country to country. With this in mind, the Relocare A1 Compliance App is designed to be the travelers tool for this exact requirement. 

In Denmark contributions are mainly covered by the income tax system. In other countries like Sweden, France, Belgium and Holland, social security contributions may be a substantial expense for the employer of up to 36% of the employees gross salary.

Besides the fact that the coverage should be documented upon request, it is necessary for all parties to know and control where the individual is covered as it may prove crucial to be aware of the expense and avoid surprises for the cover and benefits that the individual will be entitled to. 

It will be relevant to know where and how the employee will be covered should incidents occur, but it could also prove crucial for the employee should cover change to a different country as he may lose already earned benefits in the home country and may only gain these after a deferred period. 

Normally, cover in the home country is being sought for as this will maintain the employee “as is” also during work assignments abroad. But in order to be sure of this continued coverage should be applied for as documentation on-going during work assignments abroad, but also to secure benefits in the long term such as public pensions, contents of which may only be acknowledged and relevant many years later.

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