How is Social Insurance Handled After Leaving China?

  

Source: OT-Team(G), 海南省社会保险服务中心

  On March 17, the Hainan Social Insurance Service Center published a set of guidelines addressing common questions about foreign nationals participating in China's social insurance system.

1. Can foreign nationals who participate in social insurance in Hainan claim pension benefits in Hainan?

Foreign nationals who participate in pension insurance and meet the necessary requirements are entitled to pension benefits by law. Foreign workers who have reached the legal retirement age and have met the required contribution years, with their designated benefit payment location in Hainan, can apply for pension benefits in the province.

For foreign nationals who have obtained permanent residency, those who have contributed to the pension system for less than 15 years before retirement (with the contribution period gradually extended to 20 years starting in 2030) may be allowed to extend their contributions according to policy and receive social insurance benefits once the required years are completed.

2. How will the social insurance contributions of foreign nationals who only work in Hainan for a limited period (e.g., five years) be handled if they return to their home country?

For foreign nationals who leave China before reaching the statutory pensionable age, their individual social insurance accounts will be preserved. If they return to China for employment, their previous contribution years will be added to their new contributions. Alternatively, they may apply in writing to terminate their social insurance relationship, in which case the balance of their personal social insurance account will be paid to them in a lump sum. For foreign nationals moving between provinces within China, social insurance transfer regulations will apply.

3. When is an employer not required to enroll foreign employees in social insurance?

There are two situations where employers are not required to enroll foreign nationals in the social insurance system:

Situation 1: Foreign nationals who are from countries that have signed bilateral or multilateral social insurance agreements with China. If they provide proof of insurance from their home country within three months of obtaining employment authorization in China, they are exempt from paying for the specified insurance types during the agreed period.

Situation 2: Foreign nationals who have reached or exceeded the statutory retirement age when they come to China to work are not required to participate in social insurance.