Fund forced to tap into indemnity pool to pay maternity, medical bills

The director general of the National Social Security Fund (NSSF) Mohammad Karaki said Friday that the fund was compelled to draw money from the end-of-service benefit department to cover the mounting deficit of the maternity and sickness division. “It is true we had to withdraw LL600 billion ($400 million) from the end-of-service benefits and this figure will rise to LL700 billion at the end of 2009. We honestly say that sacrifices are needed to sustain the crucial services to more than 1.3 million Lebanese who are covered by the NSSF,” Karaki told The Daily Star in an interview at his office. 

The NSSF has been suffering mounting deficits in the sickness and maternity departments since the government decided to slash the subscription in 2001. 

This NSSF’s predicament has also led to an open showdown with hospital owners who claim that the fund is not paying their dues on time. 

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