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More provident fund managers asked to release savings for Covid treatment
A woman receives a Covid-19 jab during a mass vaccination exercise at Kololo Airstrip in Kampala yesterday. PHOTO/FILE/ ABUBAKER LUBOWA
What you need to know:
- A provision under which certain members would access at least 20 per cent of their benefits before hitting the required retirement age, had been considered under the amended NSSF Act but the Bill.
The Uganda Retirement Benefits Regulatory Authority (URBRA) has instructed all provident fund managers to release a portion of savings to those confirmed to be in intensive care units battling Covid-19.
Ms Rita Nansasi, the director of legal affairs at URBRA, on Friday revealed that they have since instructed managers of about 65 provident funds, to release part of the savings to their members.
She explained that the law provides for a window where members with health complications can access some of their savings to pay off their medical bills.
“This should not be confused with the midterm access. The invalidity benefit is what one gets when someone is in the ICU. The next of kin has to approach the company with documentation of the hospital bill and under this window, a member can access the money to pay for Covid-19 bills,” Ms Nansasi told journalists.
This was during the donation of personal protective gear and physiotherapy equipment to Mapeera Bakateyemba home in Nalukolongo, Kampala.
Mr James Ebitu, the director of social protection at the Gender ministry, used the same forum to condemn private hospitals that are charging high medical bills for Covid treatment. “I was a victim last week when we had to pay Shs20m before the bodies of both my best man and his wife could be released after succumbing to Covid-19,” he said.
Last week, Daily Monitor broke a story of how some private hospitals Covid-19 patients in the range of Shs1.5m to Shs3m per day.
Following the story, the National Social Security Fund (NSSF), announced that they are now allowing its members to access part of their savings to cater for Covid-19 medical expenses.
Mr Usher Wilson Owere, the chairman general of National Organisation of Trade Unions, yesterday wondered why URBRA and NSSF are coming out now and yet last year, they opposed a similar request.
Mr Owere said he suspects these are delaying tactics so that the President does not sign the NSSF Amendment Bill 2019, which would benefit more Ugandans battered by Covid-19 effects.
Background
NSSF has since last year been swarmed by requests from both members and the public to create a provision in which members, whose income sources have been affected by Covid-19, access part of their benefits during the hard times.
A provision under which certain members would access at least 20 per cent of their benefits before hitting the required retirement age, had been considered under the amended NSSF Act but the Bill, which was passed by Parliament in February, has not been signed by the President.
