THE GOVERNMENT

DECREES:

Article 1.- Position and functions of Vietnam Social Insurance

Vietnam Social Insurance is a non-business agency attached to the Government and has the function of implementing the social insurance and medical insurance policies and regimes (hereinafter referred collectively to as the social insurance) and managing the social insurance fund according to the provisions of law.

Article 2.- Tasks and powers of Vietnam Social Insurance

1. To elaborate and submit to the Prime Minister for approval:

a/ Strategy for development of Vietnam�s social insurance service and long-term and five-year plans on the implementation of social insurance policies and regimes.

b/ Scheme for preservation of value and development of the social insurance fund.

2. To direct and organize the implementation of social insurance policies and regimes; to collect compulsory and voluntary social insurance premiums; to pay social insurance subsidies to subjects participating in the social insurance in a full and convenient manner and within the prescribed time limits according to the provisions of law;

3. To issue assorted social insurance books and/or cards;

4. To manage the social insurance fund on the principle of centralism and uniformity under the State�s financial regime, independent accounting and protection by the State;

5. To propose to the Government, the Prime Minister and the relevant State agencies amendments and/or supplements to social insurance policies and regimes, as well as the fund management mechanism and financial management mechanism (including expenses for management of apparatus of Vietnam Social Insurance), and organize the implementation thereof after they are approved;

6. To promulgate documents guiding the application of the social insurance regimes and the social insurance revenue and expenditure operations according to its competence; to manage internal affairs of Vietnam Social Insurance service;

7. To sign contracts with lawful medical examination and treatment establishments to serve insurance book or card holders according to the provisions of law;

8. To inspect the signing of contracts and social insurance revenue and expenditure operations by agencies, units and organizations employing laborers, individuals and medical examination and treatment establishments; to request the competent State agencies and the superior bodies of the labor-employing units or medical examination and treatment establishments to handle acts of violating the social insurance legislation;

9. To refuse the payment of social insurance indemnities when subjects participating in insurance fail to fully meet the conditions for enjoying insurance indemnities according to the provisions of law or when there exist legal proofs of acts of forging or falsifying dossiers to get insurance indemnities;

10. To pay compensations for all revenue and expenditure amounts made in contravention of law provisions on social insurance regimes to subjects participating in social insurance;

11. To settle complaints and denunciations of organizations and individuals about the implementation of social insurance policies and regimes according to the provisions of law;

12. To archive dossiers of subjects participating in social insurance and enjoying social insurance regimes according to the provisions of law;

13. To organize the scientific research and application; to apply information technology to the management and administration of social insurance activities;

14. To organize the training and fostering of social insurance professional skills;

15. To organize the work of information, propagation and dissemination of social insurance policies and regimes;

16. To undertake international cooperation on social insurance according to the provisions of law;

17. To assume the prime responsibility and coordinate with the State agencies, socio-political organizations and social organizations at the central and local levels, and the parties participating in social insurance in settling matters related to the implementation of social insurance policies and regimes according to the provisions of law;

18. To manage organization, personnel, public servants and State employees, finance and assets of Vietnam Social Insurance according to the provisions of law;

19. To observe the regime of reporting to the Government, the Prime Minister and the competent State agencies as prescribed by law.

Article 3.- The organizational system of Vietnam Social Insurance

Vietnam Social Insurance is organized and managed according to professional insurance system in a centralized and unified manner from the central to local levels, and consists of:

1. Vietnam Social Insurance at the central level;

2. Social insurance agencies in the provinces and centrally-run cities (hereinafter referred collectively to as the provincial social insurance agencies) under Vietnam Social Insurance.

3. Social insurance agencies in rural districts, urban districts, provincial capitals and provincial cities (hereinafter referred collectively to as the district social insurance agencies) under provincial social insurance agencies.

Article 4.- Tasks of the Management Board of Vietnam Social Insurance

The Management Board of Vietnam Social Insurance (hereinafter referred to as the Management Board) assists the Prime Minister in performing the following tasks:

1. Directing, supervising and inspecting the revenues, expenditures and management of the social insurance fund;

2. Approving annual revenue and expenditure estimates and settlements of the social insurance fund;

3. Adopting the strategy for development of Vietnam Social Insurance service, long-term and five-year plans on implementation of social insurance policies and regimes as well as schemes for value preservation and development of the social insurance fund, elaborated by the general director of Vietnam Social Insurance (hereinafter referred to as the general director), so that the general director can submit them to the Prime Minister for approval; supervising and inspecting the general director in the implementation of such strategy, plans and schemes after they are approved;

4. Proposing the Prime Minister to appoint and dismiss the general director and deputy general directors of Vietnam Social Insurance.

Article 5.- Structure of the Management Board

1. The Management Board is composed of representatives of the leaderships of the Ministry of Finance, the Ministry of Labor, War Invalids and Social Affairs, the Ministry of Health, the Vietnam Labor Confederation, and the general director of Vietnam Social Insurance. Members of the Management Board shall represent their own agencies to take part in the Management Board�s works, discuss and vote on the Management Board�s operations.

2. The Management Board has its chairman, one deputy chairman and members appointed and dismissed by the Prime Minister at the proposal of the Minister of the Interior.

Article 6.- Working regime of the Management Board

1. The Management Board shall work on a collective basis; meet once every three months to consider and decide on matters falling within its tasks and powers provided for in Article 4 of this Decree.

2. The Management Board may hold extraordinary meetings to solve urgent problems when so requested by its chairman or the general director or over a half of the total number of its members.

3. The Management Board�s meetings must be attended by at least two thirds of its members. The Management Board�s resolutions must be voted for by the majority of its members present at the meetings. Matters on which the opinions of the Management Board�s members remain divergent shall be reported by its chairman to the Prime Minister for decision.

4. In its operation, the Management Board shall use the assisting apparatus, funding and seal of Vietnam Social Insurance.

5. The Management Board�s chairman shall promulgate the working regulation of the Management Board and assign tasks to the Management Board�s members.

Article 7.- The general director of Vietnam Social Insurance

1. The general director is the legal-person representative of Vietnam Social Insurance and appointed by the Prime Minister at the proposal of the Management Board. The general director shall be answerable to the Prime Minister and the Management Board for implementing the social insurance policies and regimes and managing the social insurance fund according to the provisions of law and performing the tasks prescribed in Article 2 of this Decree.

2. The general director is assisted by the deputy general directors; the deputy general directors are assigned by the general director to direct a number of working domains and answerable to the general director for their assigned tasks. When the general director is absent, a deputy general director authorized by the general director shall lead the operation of Vietnam Social Insurance.

The deputy general directors shall be appointed and dismissed by the Prime Minister at the proposals of the Management Board and the general director.

Article 8.- Working regime and responsibilities of the general director

1. The general director shall work according to the single-boss regime, ensuring the principle of democratic centralism; promulgate the working regulation of Vietnam Social Insurance, and direct and inspect the observance thereof.

2. The general director shall assign or authorize the deputy general directors to solve matters under his/her competence. The general director shall be responsible for decisions of the deputy general directors assigned or authorized to solve such matters.

3. The general director shall have the following responsibilities:

a/ To prepare contents prescribed in Article 4 of this Decree for approval by the Management Board, and organize the implementation of the Management Board�s resolutions;

b/ To decide on and direct the implementation of the administrative reform program of Vietnam Social Insurance and the implementation of the social insurance policies and regimes towards subjects participating in social insurance; ensure the observance of the information and reporting regime by Vietnam Social Insurance and its attached units;

c/ To make decisions on works under Vietnam Social Insurance�s management and be responsible for such decisions; decide on specific measures to enhance the observance of discipline and administrative order by officials, public servants and employees of Vietnam Social Insurance; and to combat corruption, wastefulness and all manifestations of bureaucracy and authoritarianism in the service;

d/ To be disciplined for his/her managerial misconducts, which result in corruption and negative acts, causing serious damage to bodies and units under Vietnam Social Insurance�s management;

e/ To organize the enforcement of State management regulations on social insurance. Upon proposing to the Prime Minister matters related to State management functions of a ministry or ministerial-level agency, he/she must obtain written opinions of the minister or the head of such agency.

f/ To coordinate with the presidents of the People�s Committees of the provinces and centrally-run cities in organizing the implementation of social insurance policies and regimes in their respective localities according to the provisions of law;

g/ To coordinate with the heads of trade union organizations and other social organizations at the central level and in the provinces and centrally-run cities in performing the tasks of Vietnam Social Insurance; create conditions for the said organizations to operate and participate in the management.

Article 9.- Organization of provincial and district social insurance agencies

1. Provincial and district social insurance agencies are organized and operate according to the general director�s regulations;

2. Provincial and district social insurance agencies have the legal person status, their own seals, accounts and offices;

3. The general director shall prescribe the functions, tasks, organizational structure, payrolls, appointment, dismissal, commendation and discipline of managerial officials and provide for operation funding of provincial and district social insurance agencies; decide on the establishment and dissolution of provincial and district social insurance agencies in cases where competent State agencies issue decisions on merger or division of provincial- or district-level administrative units.

Article 10.- Organizational structure of Vietnam Social Insurance

1. The Department for Social Insurance Regimes and Policies;

2. The Department for Planning and Finance;

3. The Department for Social Insurance Revenues;

4. The Department for Social Insurance Expenditures;

5. The Department for Voluntary Social Insurance;

6. The Department for Medical Expertise;

7. The Department for Social Insurance Propagation;

8. The Department for International Cooperation;

9. The Department for Organization and Personnel;

10. The Department for Inspection;

11. The Office;

12. The Center for Social Insurance Scientific Research;

13. The Center for Information Technology;

14. The Center for Training and Fostering of Social Insurance Professional Operations;

15. The Archival Center;

16. The Social Insurance Newspaper;

17. The Social Insurance Magazine.

The general director prescribes the functions, tasks, powers, organizational structure and payrolls; appoint, dismiss, commend and/or discipline managerial officials of the units defined in this Article.

The general director shall have to re-organize medical insurance in some branches where exists this form of insurance.

Article 11.- Implementation effect

This Decree takes effect 15 days after its signing.

To annul the Government�s Decree No. 19/CP of February 16, 1995 on the establishment of Vietnam Social Insurance; Articles 5 and 25, Clause 2 of Article 26, and Articles 27, 28 and 29 of the Medical Insurance Regulation promulgated together with the Government�s Decree No. 58/1998/ND-CP of August 13, 1998; the Prime Minister�s Decision No. 606/TTg of September 26, 1995 promulgating the Regulation on organization and operation of Vietnam Social Insurance and the previous stipulations which are contrary to this Decree.

Article 12.- Implementation responsibility

The ministers, the heads of the ministerial-level agencies, the heads of the agencies attached to the Government, the presidents of the People�s Committees of the provinces and centrally-run cities, the chairman of the Management Board and the general director of Vietnam Social Insurance shall have to implement this Decree.

On behalf of the Government
Prime Minister
PHAN VAN KHAI