Permanent disability benefits

Permanent Disability is when the worker, after receiving the prescribed treatment and being medically discharged, exhibits serious anatomical or functional reductions, subject to an objective determination and assumed permanent, which reduce or annul their capacity to work. This determination will not prevent the possibility of the incapacitated person to recover their work capacity, if this possibility is medically considered to be uncertain or long-term. 

Permanent Disability is deemed to exist when the worker meets the following conditions:

• Has received medical treatment.
• Exhibits serious anatomical or functional reductions.
• The point above is subject to objective determination (with medical tests).
• It is assumed to be permanent (recovery is not medically possible).
• It reduces or annuls the capacity to work.

The mutual society will start the process with the National Institute of Social Security (INSS) to determine what benefit the worker should receive.

• The mutual society will assume the cost of one-off payments deriving from Work-Related Injuries and Occupational Diseases by means of a direct payment to the beneficiary, provided it is responsible for the compensation payments, according to a scale in the case of non-disabling injuries or a lump sum in the case of the partial permanent disability. One-off payments (with the exception of the death grant) deriving from Work-related Injuries and Occupational Diseases are subject to tax under the terms established in Article 17.2 of Act 35/2006 on Personal Income Tax (IRPF).
• The mutual society will assume the cost of the pension provisions deriving from Work-related Injuries and Occupational Diseases through the constitution in the Central Treasury for Social Security of the corresponding capital, provided that it is responsible for this.

The law establishes that mutual societies shall not be responsible for the payment of benefits that might derive from a declaration of Permanent Incapacity. These will be payable by the Social Security.