Andorra

The Andorran Social Security Fund (Caixa Andorrana de Seguretat Social, or CASS) is the primary system for social protection in Andorra. It covers various areas vital to employee well-being. Contributions are shared by the employer and employee.

CASS Coverage

• Disability and Occupational Injury (Occupational Risk Branch): This branch covers financial assistance and medical support if an employee gets injured at work or faces a long-term disability.
• Maternity and Paternity Benefits: These benefits provide financial support to the parent on maternity or paternity leave.

Health Insurance

In Andorra, all employees must have health insurance, which is primarily administered through the CASS. The coverage includes preventative care, access to general practitioners and specialists, hospitalization, diagnostic tests, and more. The contributions are shared between the employer and employee, with employers generally covering a larger portion of the contribution.

Pension Contributions

Andorra has a multi-pillar pension system. The state pension, provided via CASS, is the first pillar, providing basic retirement income based on contributions made throughout employment.

Important Notes

Actual contribution rates for social security, health insurance, and pensions may vary depending on an employee's salary and specific circumstances. Employers are responsible for withholding the employee's share of contributions and remitting the correct funds to the CASS and other relevant authorities.

In Andorra, employers often provide additional benefits to attract and retain employees. These optional benefits can range from private health insurance to stock options.

Private Health Insurance

Private health insurance often serves as a supplement to the public health insurance system (CASS). It may offer enhanced benefits such as faster access to specialists, coverage for private clinics, and additional dental or vision care. Employers may offer a range of private health insurance plans, allowing employees to choose the level of coverage that best suits their needs.

Life and Disability Insurance

These plans provide financial support for an employee's dependents in case of death. Disability insurance offers income replacement if an employee cannot work due to a long-term illness or injury. Such benefits offer extra financial security and peace of mind for employees and their families.

Company Car

In Andorra, providing a company car for personal and/or business use can be a significant benefit for employees. Specific tax rules may apply to company car usage, so it's important for employers and employees to understand these implications.

Meal Vouchers or Subsidized Canteen

Meal vouchers or a subsidized workplace canteen reduce employees' daily food expenses. These options provide a convenient solution for employees' lunchtime needs.

Gym Memberships or Wellness Programs

Subsidized gym memberships or company-sponsored wellness programs encourage healthy lifestyles. Such benefits can boost employee morale and well-being.

Stock Options

In some companies (particularly startups or larger firms), employees may receive stock options as part of their compensation package. Stock options provide the chance to share in the company's future growth and offer the potential for significant gains.

In Andorra, health insurance is mandatory and is primarily managed through the Andorran Social Security Fund (CASS). This system applies to all employees working in Andorra, regardless of their nationality. The cost of health insurance contributions is shared between the employer and the employee, with the employer typically covering a larger portion of the cost.

Statutory Provisions

• Universal Coverage: Health insurance coverage through the CASS is mandatory for all employees in Andorra.
• Contribution Sharing: The cost of health insurance contributions is divided between the employer and the employee.

Employer Obligations

• Registration: Employers are responsible for registering their employees with the CASS.
• Contribution Withholding and Payment: Employers are required to withhold health insurance contributions from their employees' salaries and pay both the employer and employee portions of contributions to the CASS.
• Recordkeeping: Employers must keep accurate records related to employee health insurance contributions.

Options for Additional Coverage

• Private Health Insurance: Employees can choose to purchase supplemental private health insurance, which can provide faster access to specialists and elective procedures, coverage for private clinics or hospitals, and enhanced dental and vision care.
• Employer-Sponsored Plans: Some employers may offer group private health insurance plans to their employees, often at negotiated rates.

Important Considerations

Andorra's mandatory health insurance system provides a solid healthcare foundation for all employees. It's important for both employers and employees in the country to understand the statutory requirements and options for additional coverage.

Andorra's retirement plan system is a combination of government-sponsored plans and private savings options.

Government-Sponsored Pensions

The Andorran Social Security Fund (CASS) manages the public pension system, which provides a basic level of retirement income. Eligibility and benefit amounts are determined by years of contribution and income levels. Both employers and employees contribute to the public pension system through mandatory CASS deductions.

Private Savings Options

Many employers offer company-sponsored pension plans. These plans offer employees a way to supplement their government pension with additional retirement savings. Individuals also have the option to contribute to personal retirement savings plans offered by banks or financial institutions. These plans can provide further tax-advantaged savings opportunities for retirement.

Important Considerations

The public pension system may not be sufficient for a comfortable retirement. Proactive saving through occupational pensions and personal retirement plans is essential for securing financial well-being. Financial advisors can help individuals assess their retirement goals and choose suitable private savings plans.