Written answers

Wednesday, 26 February 2025

Department of Employment Affairs and Social Protection

Social Welfare Payments

Photo of Aindrias MoynihanAindrias Moynihan (Cork North-West, Fianna Fail)
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196. To ask the Minister for Employment Affairs and Social Protection to consider having illness benefit payment available to self-employed individuals; and if he will make a statement on the matter. [8366/25]

Photo of Dara CallearyDara Calleary (Mayo, Fianna Fail)
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Illness benefit is the primary short term income support provided by my Department to those who are unable to work due to illness of any type and who are covered by social insurance.

Eligibility for illness benefit depends on the person’s PRSI record and class. The person must have made the required number of contributions under class A, E, H or P to qualify. In general, self-employed people make PRSI contributions at class S which does not provide entitlement to illness benefit.

Self-employed people pay contributions to the Social Insurance Fund at a lower rate of 4.1%. This is 11.15 percentage points lower than the combined employer and employee contribution of 15.25% made in respect of employed contributors. However, self-employed contributors do have access to over 90% of benefits available to employed contributors including;

  • Adoptive Benefit;
  • Carer’s Benefit;
  • Guardian's Payment (Contributory);
  • Invalidity Pension;
  • Jobseeker's Benefit (Self-Employed);
  • Maternity Benefit;
  • Parent's Benefit;
  • Partial Capacity Benefit (where in receipt of Invalidity Pension);
  • Paternity Benefit;
  • State Pension (Contributory);
  • Treatment Benefit; and
  • Widows, Widower's or Surviving Civil Partner's (Contributory) Pension.
As a result, the only benefits that class S PRSI does not provide access to are health and safety benefit, illness benefit and occupational injuries benefits.

In circumstances where people are ill but do not qualify for illness benefit or invalidity pension, my Department provides means tested supports under the disability allowance scheme and the supplementary welfare allowance scheme. An additional needs payment may also be available to people who have expenses that they cannot pay from their weekly income.

The Programme for Government 2025 includes an action to explore the option of giving self-employed workers access to illness benefit by means of making a higher PRSI contribution. My Department has commenced work in this regard. Any changes to the current system would need to be considered in an overall policy and budgetary context.

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