Seán Fleming (Laois-Offaly, Fianna Fail)
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807. To ask the Minister for Employment Affairs and Social Protection if a person can qualify for an invalidity pension in circumstances in which they are paying class S contributions and are self-employed; if they can continue in their work and obtain an invalidity pension; and if she will make a statement on the matter. [12881/20]

Heather Humphreys (Cavan-Monaghan, Fine Gael)
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Self-employed contributors have been eligible for the invalidity pension from December 2017. For the first time, this has given the self-employed access to the safety-net of State income supports if they become permanently incapable of work as a result of an illness or disability without having to go through a means test. When deciding to extend access to this benefit to the self-employed, Government wanted to ensure that it was on a similar basis to that of those in employment.  This is a real advance in the level of cover available to the self-employed.

Invalidity pension (IP) is a payment for people who are permanently incapable of work because of illness or incapacity and for no other reason and who satisfy the pay related social insurance (PRSI) contribution conditions.  To qualify for IP a claimant must, inter-alia, have at least 260 (5 years) paid PRSI contributions since entering social insurance and 48 contributions paid or credited in the last or second last complete contribution year before the relevant date of their claim.  Only PRSI classes A, E, H or S contributions are reckonable for IP purposes.  Class S contributions are those paid by self-employed people.

A claimant must be regarded as permanently incapable of work, which is defined as:

incapacity for work of such a nature that the likelihood is that the claimant will be incapable of work for life

OR

an incapacity which has existed for 12 months prior to the date of claim, and where the Deciding Officer or an Appeals Officer is satisfied that the claimant is likely to be unable to work for 1 year from the date of claim.

A person in receipt of IP cannot engage in work. However, with prior written permission from the Department, a person may undertake light work for which no remuneration is or would ordinarily be payable.  Should a person in receipt of IP wish to take up or resume open labour market employment, they may qualify for Partial Capacity Benefit, a social welfare scheme which allows a person to return to work or self-employment (if they have reduced capacity to work) and continue to receive a payment from the Department.

I hope this clarifies the matter for the Deputy.