Technical Standards for the Granting of Disability Benefits in the Pension System

NSP-49
DISABILITY IN THE PENSION SYSTEM
Approval: 30/12/2022
Validity: 30/12/2022

THE COMMITTEE OF NORMS OF THE CENTRAL BANK OF RESERVE OF EL SALVADOR,

CONSIDERING:

I. That by Legislative Decree No. 614, of December 20, 2022, published in the Official Diary No. 241, Volume No. 437, of December 21, 2022, the General Law of the Pension System was issued, by which the Pension System for workers in the private, public, and municipal sectors was created, which comprises the set of norms and measures that will be applied by Pension Fund Administrators.

II. That article 2 letter a) of the General Law of the Pension System establishes that the System will have as a characteristic that its affiliates will have the right to the granting and payment of disability pensions, which is determined in the aforementioned Law.

III. That article 99 of the General Law of the Pension System establishes that non-pensioned affiliates who, without meeting the age requirements to access old-age pension, suffer a reduction in the capacity to exercise any work, as a consequence of illness, common accident, or weakening of their physical or intellectual forces, shall have the right to a disability pension; not so those who become disabled due to professional risks.

IV. That article 101 of the General Law of the Pension System establishes that, for the payment of disability pensions, the pension will be determined as a percentage of the Regulator Basic Salary in the aforementioned Law. Additionally, it establishes that the disability pension cannot be lower than the minimum pension established in the referenced Law.

V. That article 114 of the General Law of the Pension System establishes the minimum pensions for the System.

VI. That article 159 of Legislative Decree No. 614, by which the General Law of the Pension System was approved, establishes that the Central Bank of Reserve of El Salvador will issue the Technical Standards and Resolutions necessary to allow the development of what is established in the referenced Law.

THEREFORE,

in virtue of the regulatory powers conferred by article 99 of the Law of Supervision and Regulation of the Financial System,

NSP-49
DISABILITY IN THE PENSION SYSTEM
Approval: 30/12/2022
Validity: 30/12/2022

AGREES to issue the following:

TECHNICAL STANDARDS FOR THE GRANTING OF DISABILITY BENEFITS IN THE PENSION SYSTEM

CHAPTER I
OBJECT, SUBJECTS, AND TERMS

Object
Art. 1.- The object of these Standards is to establish the procedures that Pension Fund Administrators must carry out for the granting of disability benefits in accordance with what is established in the General Law of the Pension System.

Subjects
Art. 2.- The subjects obliged to comply with the provisions established in these Standards are the Pension Fund Administrators.

Terms
Art. 3.- For the purposes of these Standards, the terms indicated below have the following meaning:
a) Affiliate: Any person who maintains a relationship with a Pension Fund Administrator, through the signing of an affiliation contract; b) Non-pensioned Affiliate: Affiliate who is not receiving a pension from the Pension System in accordance with the General Law of the Pension System; c) Pensioned Affiliate: Affiliate to the Pension System who receives a pension in a Pension Fund Administrator; d) AFP: Pension Fund Administrator; e) Agency: Public service locations opened by the AFP within the national territory where they provide services to affiliates, beneficiaries, pensioners, and the general public, in accordance with what is established in the General Law of the Pension System; f) Contribution Years: Time accumulated by contributions made in the Pension System. A contribution year will be understood as equivalent to 365.25 days; g) Central Bank: Central Bank of Reserve of El Salvador; h) CIAP: Individual Savings Account for Pensions; it is the sum of the worker's mandatory contributions and the proportion corresponding to the employer's contribution and the earnings credited. Additionally, any other contribution established for specific cases, provided they meet the requirements of the General Law of the Pension System, will form part of the Individual Savings Account for Pensions; i) CGS: In accordance with article 119 of the General Law of the Pension System, it is the mechanism that assumes the present and future financing and payment of the Minimum Pension and the obligations corresponding to the Welfare Institutes of the Public Pension System, with the objective of giving sustainability to the payment of pensions, in a stable and lifelong manner; j) Disability Qualifying Commission: Entity created by article 104 of the General Law of the Pension System that enjoys autonomy regarding the knowledge and qualification of the applications submitted to its consideration, whose main function is to determine the origin of the illness or common or professional accident and qualify the degree of disability. Likewise, it rules on whether an affiliate suffers from a serious illness to access the benefit of balance return for serious illness as regulated in article 128 of the General Law of the Pension System; k) CT: Transfer Certificate or its equivalent value; l) Days: When used for a term, it shall be understood that it refers to calendar days; m) Disability Report: Expert report containing the agreements of the Disability Qualifying Commission constituted in session, regarding a request for disability evaluation:
i. First Report: Agreement of the Disability Qualifying Commission that determines the functional capacity impairment presented by an affiliate or beneficiary to perform remunerated work;
ii. Second Report: Agreement of the Disability Qualifying Commission that ratifies or modifies the impairment determined in the first report; and
iii. Another report: Agreement of the Disability Qualifying Commission regarding a new request for evaluation due to worsening or improvement of disability, after a second report of partial or total disability has been issued.
n) Executed Report: Report issued by the Disability Qualifying Commission regarding which fifteen business days have elapsed after notification to the parties, without a claim having been received against it, or that having a claim been presented, it has been resolved by the Disability Qualifying Commission; o) Identity Document: It may be the Unique Identity Document, Minor's Card, Passport, or Resident's Card, as applicable; p) Retirement Age: Age reached that enables an affiliate to opt for an old-age benefit, in accordance with what is established in article 96 of the General Law of the Pension System; q) FSV: Social Fund for Housing; r) ISSS: Salvadoran Social Security Institute; s) Disabled: Worker affiliate who, as a consequence of a physical and/or intellectual impediment of common origin in accordance with article 99 of the General Law of the Pension System, suffers a reduction in work capacity; t) Partially Disabled: Worker affiliate who, as a consequence of a physical and/or intellectual impediment of common origin, suffers a reduction in work capacity equal to or greater than fifty percent and less than two thirds;

u) Totally Disabled: Worker affiliate who, as a consequence of a physical and/or intellectual impediment of common origin, suffers a reduction in work capacity of at least two thirds, including great disability which considers the need for assistance by third parties for the basic care of the daily life of the disabled person; v) SP Law: General Law of the Pension System; w) INPEP Affiliation Number: Number granted by the National Institute of Pensions of Public Employees to its affiliates, prior to the entry into force of the Law Creating the Salvadoran Institute of Pensions. x) Disability Pension: That monetary benefit granted to non-pensioned affiliates of the Pension System who suffer a reduction in the capacity to exercise any work, as a consequence of illness, common accident, or weakening of their physical or intellectual forces; y) Partial Disability Pension: That monetary benefit granted to an affiliate declared by the Disability Qualifying Commission as partially disabled; z) Total Disability Pension: That monetary benefit granted to an affiliate declared by the Disability Qualifying Commission as totally disabled; aa) Partial Permanent Pensioner: Affiliate pensioned for partial disability, according to the qualification of the second disability report, by the Disability Qualifying Commission; bb) Total Permanent Pensioner: Affiliate pensioned for total disability, according to the qualification of the second disability report, by the Disability Qualifying Commission; cc) Benefits: Set of obligations of the AFP and the CGS established in accordance with the SP Law, regarding the granting of benefits to their affiliates, insured persons, and beneficiaries; dd) SP: Pension System; ee) SBR: Regulator Basic Salary; ff) Superintendence: Superintendence of the Financial System; and gg) UAIHL: Comprehensive Unit for Labor History Attention.

CHAPTER II
DISABILITY BENEFITS

Disability Benefits
Art. 4.- Non-pensioned affiliates, who without meeting the age requirements to access old-age pension and who are qualified with a reduction in the capacity to exercise any work, as a consequence of illness, common accident, or weakening of their physical and/or intellectual forces, may have the right to a disability pension, in accordance with what is established in article 99 of the SP Law. In the event that voluntary contributions were made to their CIAP prior to the entry into force of the SP Law, they will be returned from the first disability report, in accordance with what is stipulated in article 6 of the "Technical Standards for the Granting of Old-Age Benefits in the Pension System" (NSP-43), approved by the Central Bank, through its Committee of Norms. (2)

Art. 5.- The benefits to which disabled affiliates can access, in accordance with what is established in the SP Law, are the following:
a) Partial disability pension; b) Total disability pension; or c) Balance return, in accordance with what is established in article 123 of the SP Law.

Requirements to access a disability pension
Art. 6.- Non-pensioned affiliates who become disabled due to common risk, for the purposes of accessing the enjoyment of a partial or total disability pension, must meet the following requirements:
a) Not having the legal age to retire for old age; and b) Being reported by the Disability Qualifying Commission as disabled due to common risk; Additionally, they must meet any of the following requirements:
a) Three years of continuous or discontinuous contributions, registered during the five years prior to the date on which they were declared disabled by a first report; b) Contributing at the time the disability was declared in the case of common accident or illness, or having contributed at least six months during the last twelve and the common accident or illness having occurred after their affiliation; or c) Registering a minimum of ten years of effective contributions on the date of becoming disabled, or subsequently if it is a pensioner for disability who continues contributing. For the purpose of calculating contribution time, the AFP must sum the number of days credited in each contribution month and divide that total by 365.25. The figure of the hundredths will be rounded to the immediate higher figure when the figure of the thousandths is equal to or greater than five, and the resulting year fractions will be taken into account with two significant figures, up to the fraction 0.99 inclusive, then the next higher figure will be used.

Disability due to professional risks
Art. 7.- Disability benefits due to professional risks will be covered through the Health, Illness, and Professional Risks Regime of the ISSS or by the Salvadoran Institute of Teacher Welfare, as applicable, who will determine the appropriateness or not of granting the benefit in accordance with their respective Laws and Regulations.

CHAPTER III
OF THE APPLICATION FOR DISABILITY BENEFITS

Art. 8.- The affiliate who suffers a reduction in the capacity to exercise any work, as a consequence of illness, common accident, or weakening of their physical and/or intellectual forces, must present to the AFP in which they are affiliated the application to the Disability Qualifying Commission, for the disability evaluation, in accordance with the procedure established in the "Technical Standards for the Qualification of the Degree of Disability and Determination of Serious Illness to Rule on the Right to Disability Pension and Balance Return for Serious Illness by the Disability Qualifying Commission" (NSP-45) issued by the Central Bank through its Committee of Norms. Simultaneously with requesting the qualification of disability by first report, the affiliate must present to the AFP the application called "Application for Disability Benefits," in which a legend must be established indicating that such application will proceed in the event that the affiliate is reported as disabled due to common risk. If on the date of presenting the application for disability benefits, the affiliate will meet the legal old-age age within the next two months, they must sign the Disability Pension Application jointly with the application for the advanced second report, which must contain a clarifying legend stating the reason why the advanced second report application is being presented. The AFP must verify compliance with the requirements and determine the disability benefit corresponding to the affiliate.

Art. 9.- The application to initiate the disability benefits procedure must be available to affiliates, through the agencies and electronic means that the AFPs make available to them.
Any affiliate wishing to access any of the disability benefits by first report must initiate the procedure with the signing of the corresponding application.
In the event that the affiliate is unable to carry out this procedure personally, they may be represented by an attorney. In the event of appearing through an attorney, they must present their Identity Document and a power of attorney with a special clause to process the disability benefits application.

Content of the disability benefits application Art. 10.- The disability benefits application must contain as a minimum the following information:

a) Logo and full name of the AFP; b) Name of the application or form in question; c) Number of the application or form, as applicable; d) Affiliate data:
i. Name of the affiliate;
ii. Sex of the affiliate;
iii. ISSS or INPEP affiliation number, or both if applicable;
iv. Marital status;
v. Nationality;
vi. Identity Document used, indicating the document number, place and date of issuance; and
vii. Complete address.
e) Affiliate situation:
i. Labor relationship (dependent contributor, independent, or unemployed);
f) Place and date of presentation of the application; g) Signature of the applicant; and h) Stamp and signature of the employee authorized by the AFP to receive the application.
The AFP must keep the original and a copy of the application and deliver a copy to the affiliate.
In the event that the application is presented by physical means, these must not contain smudges, strikethroughs, or any other alteration of the same.

Documents attached to the application
Art. 11.- The application must be accompanied by the following documents:
a) Original and copy of Identity Document; (4) b) Document of affiliation to the ISSS or INPEP, or both if they have them; and (4) c) Certification of birth certificate of the affiliate, only in the event that there is doubt about the identity of the affiliate or their marital status, for the purpose of confirming the same, which must be issued no more than six months prior. (4) The AFP, for the application reception process, may make electronic means available to the affiliate; however, such application will be formalized with the signature of the affiliate presenting their Identity Document for this purpose. In the event of appearing through an attorney, they must present their Identity Document and a power of attorney with a special clause to process the disability benefits application. The identity documents established in letter a) of this article must be valid on the date of the application, which must be presented both originals and legible copies in good condition, this for the purpose of carrying out the corresponding validation. In the event that for carrying out the procedure the original documents are not available because the affiliate is outside the country, or carries out the procedure through an attorney, certified copies may be presented. (4) In cases where the disabled affiliate is incapacitated to sign, another person may sign on their behalf, for which the latter must present a copy of the Identity Document, Resident's Card, or Passport, in the case of being a foreigner or Salvadoran non-resident.

Of the review of the documents
Art. 12.- The AFP will verify at the moment of receiving the application the content and the documents accompanying it and the compliance with the requirements to opt for a disability benefit in accordance with what is established in these Standards.

Art. 13.- If the disability benefits application does not meet the requirements established in the SP Law and in these Standards, the AFP will inform the affiliate so that they present the documentation in due form. If the documentation presented by the affiliate again does not meet the aforementioned conditions, the AFP will indicate that the initiation of the disability benefits procedure will be until they present all documents in due form. Upon receiving the disability benefits application in proper form, the AFP will proceed to verify compliance with the requirements established in the SP Law to access a disability benefit.

Labor History
Art. 14.- If the AFP identifies that the non-pensioned disabled affiliate might have contributions in the SPP, it must provide adequate advice so that they can initiate the corresponding procedures for the review of the Contribution History at the SPP, assigning them an appointment at the UAIHL; this process will conclude with the signing of the Labor History Acceptance Act. Subsequently, said document will be presented by the non-pensioned disabled affiliate as an attachment to the corresponding disability benefits application.

Interruption of the procedure
Art. 15.- The affiliate may interrupt the procedure of their first report disability pension application by sending a note to the AFP, in which they manifest their desire not to continue with said procedure, provided that they do so before the affiliate accepts the resolution of the benefit. If the affiliate wishes to resume this procedure on a subsequent date, they must file a new application, understanding that the interrupted process starts again. The interruption will not be appropriate when affiliates are enjoying a disability pension in the first report.

CHAPTER IV
OF THE RESOLUTION OF THE APPLICATION

Favorable resolution of the application
Art. 16.- In the event of a favorable resolution, the AFP will issue and notify the resolution of the application in accordance with the following:
a) Identification of the benefit to which the affiliate is entitled in accordance with the application presented; b) Establishment of the benefit to be granted (including the amount of Christmas pension) or amount of the balance return (total or partial); c) Payment frequency in accordance with the characteristics of the benefit and the estimation of its duration. In this section, the AFP must place a legend clarifying that these estimates may be subject to changes due to the assumptions established at the time of making them; and d) Signature of the person delegated by the Board of Directors of the AFP for such effect.

Art. 17.- The AFP must consult the affiliate on the form of disbursement of the benefit, which will be a specification of the disbursement modality indicated by the affiliate and which the AFP must consider when executing the resolution. The disbursement must be made by credit to an account in the name of the affiliate, by deposit into a checking or savings account, in any financial institution authorized to capture public deposits subject to regulation and supervision in accordance with the Law of Supervision and Regulation of the Financial System, which must be indicated by the affiliate, in accordance with the policies that the AFP determines for such effect. In exceptional cases, payment may be made by non-negotiable check or other payment mechanisms authorized for financial institutions.

Unfavorable resolution of the application
Art. 18.- The AFP will deny the application, in the event that the affiliate does not meet any of the requirements to opt for any of the disability benefits established in the SP Law and in these Standards, having to issue for this purpose, a resolution indicating the cause of the same, which will be notified in writing to the affiliate within the maximum period of five business days following the date on which it was denied, having to state the reason for this to the affiliate.

CHAPTER V
OF THE FINANCING OF DISABILITY PENSIONS

Financing of disability pensions
Art. 19.- In accordance with what is established in the SP Law, common disability pensions will be financed with the following components:
a) The accumulated balance in the CIAP; b) The CT, if applicable; c) The CGS, when applicable; and d) The accumulated balance in the individual account administered by the FSV referred to in article 150 of the SP Law, when applicable.

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

Procedure for Transferring Funds to the CIAP

Art. 20.- Once the requirements to access an invalidity benefit have been verified, if the affiliate had contributed to the Private Pension System (SPP), the AFP will proceed as follows:

a) The payment of the Transfer Certificate (CT) will be made from the Solidarity Guarantee Account (CGS) in accordance with what is established in the "Technical Standards for the Administration and Management of the Solidarity Guarantee Account" (NSP-44), issued by the Central Bank through its Standards Committee.

All of the above must be carried out in accordance with what is established in articles 147 and 148 of the Pension Law (Ley SP) and in the "Technical Standards on Components of Financing of Benefits, Regulated Basic Salary and Years of Contribution" (NSP-48), issued by the Central Bank through its Standards Committee. Likewise, in accordance with these Standards, the AFP must request the transfer of accumulated funds by the affiliate in the Solidarity Fund (FSV), in the cases where applicable.

These funds will be credited to the affiliate's CIAP prior to performing the benefit calculations.

Components of the CIAP

Art. 21.- The AFP must determine the amount of the CIAP with its components, which it will use for the payment of the benefit.

For the calculation of the CIAP amount, the amounts of the CT must be incorporated, when applicable, as well as the contributions made to the FSV; these components must be credited to the CIAP of the non-pensioned affiliate.

In the case of affiliates obliged to the Pension Savings System with the right to a CT according to what is established in article 147 of the Pension Law and with the right to receive an invalidity pension, the CT will be paid until the exhaustion of the CIAP, paying this in monthly installments for the amount of the resulting pension. The calculation of the amount of said pension will be carried out considering the corresponding calculation amount of the CT without crediting it to the CIAP of the pension applicant, when applicable; said calculation will be carried out taking the last data of the Consumer Price Index (CPI) published

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

on the date of execution of the pension calculation. (1) (3)

The value of the CT referred to in the previous paragraph will be updated taking as reference the last data of variation of the Consumer Price Index (CPI) published on the date of carrying out the management of the payment thereof prior to the crediting in the CIAP.

(1)

CHAPTER VI
PROCEDURE FOR CALCULATING THE INVALIDITY PENSION

Crediting of CIAP Components

Art. 22.- For the purposes of calculating invalidity pensions, the financing components that correspond must be credited to the CIAP.

Calculation of the Invalidity Pension

Art. 23.- For the payment of invalidity pensions, it will be determined as a percentage of the Regulated Basic Salary (SBR), which must be estimated in accordance with what is established in article 95 of the Pension Law and the "Technical Standards on Components of Financing of Benefits, Regulated Basic Salary and Years of Contribution" (NSP-48), issued by the Central Bank through its Standards Committee.

Art. 24.- The calculation of invalidity pensions must be determined in accordance with the following mathematical formula:

P_inv = SBR * Pr [Eq. 1]

Where:

P_inv: Invalidity Pension
SBR: Regulated Basic Salary, estimated in accordance with what is established in article 95 of the Pension Law.
Pr: Percentage, in accordance with what is established in article 101 of the Pension Law.

If at the time of calculating the amount of the invalidity pension it is determined that it is lower than the amount of the currently valid minimum pension, the AFP will proceed to make the adjustment to said minimum amounts.

Art. 25.- In the event that the pensioner with total invalidity requires, in the judgment of the Invalidity Qualifying Commission, the assistance of a person to perform ordinary acts of daily life, the AFP must calculate twenty percent of the corresponding pension, which will be added to the pension calculated in accordance with the previous article.

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

Art. 26.- When the balance of an affiliate's CIAP is exhausted before they reach the legal age to retire for old age, the payment of the invalidity pension will be maintained from the CGS, in accordance with article 119 of the Pension Law.

When the affiliate reaches the legal retirement age and enjoys an invalidity pension, it will be converted into an old-age pension, which cannot be lower than the amount of the invalidity pension they were earning.

In the case of affiliates pensioned for partial invalidity who continued working, what is established in the previous paragraph will be applied to them; in any case, the old-age pension cannot be lower than the pension converted to one of total invalidity.

CHAPTER VII
OF THE FIRST RULING PENSIONS

First Ruling Pension

Art. 27.- For the affiliate declared invalid by first ruling, the AFP must proceed to pay the pension from the balance of their CIAP, including the issued value of the CT and the balance of the FSV, if applicable, until exhausting the balance thereof.

Once the balance of the CIAP is exhausted, the payment of the invalidity pension will be maintained from the CGS, in accordance with article 119 of the Pension Law.

Suspension of Invalidity Pension Payment for First Ruling

Art. 28.- For the purposes of carrying out the second ruling on invalidity, after three years since the first ruling that motivated the right to pension was issued, the Invalidity Qualifying Commission will cite the affiliate three times, through the AFP, in writing, on the dates of each of the last three pension payments, in accordance with what is established in article 99 of the Pension Law. In addition to the written notifications, the AFP may use electronic channels, digital media, or any other technological means to cite the affiliate for the realization of the second ruling. The AFPs must have records that allow them to verifiably corroborate the notification management.

If the affiliate does not appear within a period of six months, established in the same way, it will be understood that the invalidity has ceased.

If before the period related to the first paragraph of this article elapses, the invalid affiliate reaches the age to retire for old age, their invalidity situation worsens, or the right to receive a pension ends, they may request in advance from

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

the Qualifying Commission, through the corresponding Administrator, the second ruling.

CHAPTER VIII
OF THE SECOND RULING PENSIONS

Second Ruling Pension

Art. 29.- If the Invalidity Qualifying Commission, in the second ruling, ratifies or modifies the degree of invalidity of an affiliate, they will receive an invalidity pension, in accordance with what is established in article 99 of the Pension Law, prior to fulfilling the requirements.

Second Ruling Rejecting Invalidity

Art. 30.- For cases where the second ruling on invalidity issued by the Invalidity Qualifying Commission determines that the invalidity has ceased, the affiliate will cease to be a pensioner and will become an active affiliate.

Reevaluation of Invalidity After the Second Ruling is Issued

Art. 31.- An affiliate pensioned for invalidity by second ruling may request a reevaluation, if they consider that their invalidity has worsened, before reaching the age to retire for old age, in accordance with what is established in article 99 of the Pension Law.

In the event that the Invalidity Qualifying Commission rules on the worsening of the degree of partial invalidity to total invalidity or great invalidity, the pension will be modified from the date of issuance of the new ruling.

CHAPTER IX
PAYMENT OF INVALIDITY BENEFITS

Accrual of the Invalidity Pension

Art. 32.- The accrual of the invalidity pension will be from the date of presentation of the request for the invalidity pension benefit, provided that after this date, they have not received a subsidy from the Illness, Maternity and Occupational Risks Regime of the ISSS; in these cases, the initial accrual date of the pension will be from the day following the period not covered by said subsidy.

The amount of the pension corresponding to the first month will be calculated proportionally from the day the accrual of the pensions begins, until the last day of that calendar month.

Payment Authorization

Art. 33.- Once the affiliate has shown agreement with the conditions of the resolution notified by the AFP in accordance with article 15 of these Standards, payment will proceed. The first payment of the benefit must be made within the following seven business days after the notification of the granting of the benefit to the affiliate by the AFP. (2)

In the event that the affiliate is not in agreement with the calculated amount of the benefit, the AFP will be responsible for clarifying their doubts. If the affiliate appeals to the Superintendence to file a complaint, report, or writing related to the amount of the benefit, this will also be resolved by the AFP, with the obligation to communicate in writing to the Superintendence how the case was resolved.

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

Pension Payment Date

Art. 34.- The invalidity pension payment must be made no later than within the last five business days of each month.

Each AFP is free to choose the payment day, within the period established in the previous paragraph; however, it must be the same date each month for all payments to be made to the same person, except when the designated day coincides with a non-business day, in which case said payment must be made on the previous business day.

The payment of the benefit must be made by account credit in the name of the affiliate, as applicable, by deposit into a checking or savings account, in any financial institution authorized to capture public deposits subject to regulation and supervision in accordance with the Law of Supervision and Regulation of the Financial System, designated by the affiliate, in accordance with the policies that the AFP determines for such effect; in exceptional cases, the payment may be made by non-negotiable check or other payment mechanisms authorized for financial institutions.

Art. 35.- The AFPs may make deductions from the pensions at the request of the invalid affiliate.

Christmas Pension

Art. 36.- Every year, the payment of a Christmas pension must be considered, as provided in article 97 of the Pension Law.

During the first year of pension, one will have the right to the Christmas pension if the accrual of the pensions begins before or during the first five business days of the month of December.

The Christmas pension will not be considered remuneration affected by the health program discount, AFP administration commission, or special contribution of the CGS.

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

CHAPTER X
RETURN OF THE CIAP BALANCE FOR INVALIDITY

Return of Balance

Art. 37.- In accordance with what is established in article 123 of the Pension Law, the return of the balance will apply in the case that, at the moment of becoming invalid, an affiliate did not meet the conditions to receive a pension.

The accumulated balance, including the Transfer Certificate and the contributions made to the Solidarity Guarantee Account, will be returned to the affiliate in a single amount or in six annual installments, depending on their choice.

Request for Return of Balance

Art. 38.- For the affiliate to be able to request the total or partial return of the balance of their CIAP, they must present the corresponding request to the respective AFP in accordance with what is established in Chapter III of these Standards.

Components of the CIAP

Art. 39.- Once the request has been received properly and the AFP has verified that the affiliate met the conditions established in article 123 of the Pension Law at the moment of becoming invalid, the AFP will proceed to determine the amount of the CIAP with its components that will be used to calculate the amount of the return.

Payment of the Balance Return

Art. 40.- The return must be canceled by check or by deposit into a checking or savings account, in any financial institution authorized to capture public deposits subject to regulation and supervision in accordance with the Law of Supervision and Regulation of the Financial System, designated by the affiliate, in accordance with the policies that the AFP determines for such effect; and it must be carried out within the following seven business days after the notification of the granting of the benefit, provided that the affiliate has given their agreement. (2)

In the event that there are arrears and default on the date of disbursement of the CIAP, they must be returned to the affiliate when they are recovered by the AFP.

The AFP must issue a resolution for the return of the balance and attach an updated Individual Account Statement.

Art. 41.- The AFP will be responsible for keeping a record to control the returns of the CIAP balance for invalidity referred to in these Standards.

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

Compatibility between Invalidity Pension and Contributions

Art. 42.- Affiliates to the SP who become invalid under the conditions established in article 123 of the Pension Law may opt for the partial return of the balance and continue contributing to finance an old-age pension in accordance with the requirements established in the Pension Law.

In the event that an affiliate qualified with invalidity has been granted the benefit of the return of the balance and continues contributing, if they present a new invalidity or pass away prior to fulfilling the legal age to obtain a benefit for old age, the total return of the balance of their CIAP will be proceeded with.

CHAPTER XI
OF THE PROOF OF SURVIVAL OF PENSIONERS QUALIFIED WITH INVALIDITY

Art. 43.- The AFP must implement the necessary controls to verify the survival of pensioned invalids. The proof of survival of a pensioner qualified with total invalidity or great invalidity will be carried out by home visit or electronic means enabled as instant messaging, text messaging, phone call, or email semi-annually, in accordance with article 118 of the Pension Law, by a social work professional appointed by the AFP; for partially invalid pensioned affiliates, they may go to the AFP agencies to make their proof of survival effective, and in cases where it is required by the affiliate, the proof may be by home visit, must be carried out in accordance with what is established in this article. (4)

Art. 44.- The format of the proof of survival form for pensioners by invalidity is at the discretion of the AFP; however, it must contain, at minimum, the following information:

a) Name of the affiliate pensioned for invalidity; b) Type of pension; c) Personal Data:
i. Type and number of Identity Document; and
ii. Address and personal phone.
d) Information of the attorney-in-fact or legal representative, if applicable:
i. Name of the attorney-in-fact or representative;
ii. Name and number of Identity Document;
iii. Address and phone; and
iv. Information related to the public deed, such as: number of deed, number of protocol, and name of the notary.
e) Names and Signatures:
i. Of the person carrying out the home visit, appointed or authorized by the

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

AFP;
ii. Name and signature of the affiliate pensioned for invalidity. If the affiliate does not know how to sign, the fingerprint; in case the pensioned affiliate is unable to fulfill the above, the name, signature, and Identity Document of the person signing on their behalf will be requested; and
iii. Name and signature of the legal representative or attorney-in-fact, if applicable.

Art. 45.- The AFP may keep a control of the survival of pensioned invalid affiliates, residents in El Salvador and abroad, through a biometric equipment, so that, in an expeditious and secure manner, they can carry out an effective review of the survival of these and allow continuity to the payments made through these, of the benefits granted by the SP.

The AFP will be responsible for the implementation, operation, disclosure, and verification of the correct functioning of the tool, ensuring that the pensioned invalid affiliates know the method and way to demonstrate their survival, as well as their coding.

The AFP must place the devices in accessible places for users and implement all those controls aimed at avoiding any type of fraud involving an inadequate use of the control mechanism.

Pensioners Qualified with Invalidity Residing Abroad

Art. 46.- For the proof of survival of pensioners or affiliates residing abroad, any of the following forms may be carried out:

a) The pensioner or affiliate residing abroad must present themselves before the Office of the Salvadoran Consulate or before the offices of the person exercising the function of notary in the country of residence, where they will request to make a Sworn Declaration, which will have validity in El Salvador, provided that it is carried out in accordance with the notarial legislation of El Salvador, in the Castilian language, and carries the authentic signatures required by Salvadoran laws and international treaties signed by El Salvador, when applicable; or

b) The pensioner or affiliate may also prove their survival through the sworn declaration, granted in the country of residence before the offices of a public notary authorized by the Supreme Court of Justice of El Salvador.

In this case, the sworn declaration may be made in a notarial deed, provided that it meets the requirements established by the Notary Law of El Salvador. The AFP may hire companies in order to receive proofs of survival abroad in accordance with what is established in article 42 of the Pension Law.

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

At no time may an attorney-in-fact sign the proof of survival of the pensioner or affiliate they represent.

Art. 46-A.- For partially invalid pensioned affiliates who do not complete the proof of survival process in the corresponding month, the payment of the pension or benefit will be suspended, starting from the month following the non-compliance with the proof. Said payment will be resumed on the next business day with retroactive effect, once the pensioner proves said survival. This deadline will not apply in exceptional cases where the lack of proof of survival is greater than two years or documents must be requested to prove the requirements for the enjoyment of the pension or benefit. Once the requirements are proven, payment must be made on the next business day. (4)

Of the Notification of the Proof of Survival Process (4)

Art. 46-B.- The AFPs must notify partially invalid pensioned affiliates, through the various communication channels at their disposal, including instant messaging applications, text messages, email, or phone calls, regarding the obligation to carry out the proof of survival. Said notification must be carried out within the first three business days of the month in which the proof of survival is to be carried out and reiterated two weeks prior to the end of said month. (4)

The communication must be carried out, at minimum, by two of the following means: sending a text message or call to the registered phone number of the pensioner, an email to the registered electronic address, or a message through the WhatsApp instant messaging application, when said channel is enabled. (4)

Likewise, the AFPs must carry out information campaigns at least every three months directed at pensioners, aimed at raising awareness about the importance and timeliness of the proof of survival in the month corresponding to each pensioner. In the event that the pensioner does not carry out the proof of survival within the corresponding month, the AFP must formally communicate to them within the first three business days of the following month their condition of non-compliance, warning that the payment of the pension will be suspended until said requirement is met. In said communication, the means and channels available to carry out the proof of survival must be clearly indicated, in order to reactivate the payment of the benefit. (4)

CHAPTER XII
OTHER PROVISIONS AND VALIDITY

Change of Old-Age Pension Regime

Art. 47.- The AFP must identify monthly, the pensioners for partial invalidity or permanent total invalidity, who are close to reaching the legal age to retire for old age in accordance with what is established in article 96 of the Pension Law.

The pensioners for invalidity by second ruling, who reach the legal age, must be informed that they will be considered pensioners for old age and that their invalidity pension will be converted into an old-age pension in accordance with article 103 of said Law.

In the case of opted affiliates contemplated in the third paragraph of article 152 of the Pension Law, the calculation must be carried out in accordance with what is established in said article.

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 12/30/2022
Validity: 12/30/2022

Special Conditions

Art. 48.- For affiliates with the right to a first ruling invalidity pension, the time elapsed between the first and second invalidity ruling will be counted as valid contribution time, if in the second ruling it is determined that the invalidity has ceased.

The Contribution Base Income for these effects will be equivalent to the value of the last monthly pension paid.

Advisory Services of the AFPs to their Affiliates

Art. 49.- The AFPs must provide adequate advice to the affiliate regarding the procedures and necessary requirements to opt for the different invalidity benefits, leaving evidence that they were duly informed about them.

Of the Notification of the Payment of Pension or Benefit (4)

Art. 49-A.- The AFPs must notify by text message or instant messaging when the payment of the pension or invalidity benefit has been made. (4)

Transitory

Art. 50.- The AFPs will have a period of 90 days to make the corresponding adjustments related to the substitution of the Unique Pension Number by the Identity Document Number in the Systems, forms, or others in which such change applies.

Transitory (4)

Art. 50-A.- The AFPs must guarantee that the provisions approved through the modifications to these Standards, approved by the Central Bank through its Standards Committee in Session No. CN-01/2026 of January 29, 2026, are implemented starting from the month of March 2026, for which they will have the deadline to carry out the administrative and technological adjustments that guarantee the reactivation of the payment of

NSP-49
INVALIDITY IN THE PENSION SYSTEM
Approval: 30/12/2022
Validity: 30/12/2022

pensions or benefits suspended due to the lack of the survival verification process. (4)

Sanctions

Art. 51.- Non-compliance with the provisions contained in these Standards will be sanctioned in accordance with what is established in the Law on Supervision and Regulation of the Financial System.

Repeal

Art. 52.- These Standards repeal the “Technical Standards for Granting Invalidity Benefits in the Pension Savings System” (NSP-12), approved in Standards Committee Session No. CN-08/2018 of August 31, 2018 by the Standards Committee of the Central Bank of Reserve of El Salvador.

Unforeseen Aspects

Art. 53.- Aspects not provided for in regulatory matters in these Standards will be resolved by the Central Bank through its Standards Committee.

Validity

Art. 54.- These Standards will enter into force starting from December 30, 2022.

MODIFICATIONS:
(1) Modifications to Article 21 approved by the Central Bank through its Standards Committee, in Session No. CN-04/2023, of June 28, 2023, with effect starting from July 14, 2023.
(2) Modifications to Articles 4, 33 and 40 approved by the Central Bank through its Standards Committee, in Session No. CN-03/2024, of February 29, 2024, with effect starting from March 15, 2024.
(3) Modifications to Article 21 approved by the Central Bank through its Standards Committee, in Session No. CN-09/2024 of September 23, 2024, with effect starting from October 9, 2024.
(4) Modifications in Articles 11 and 43 and incorporation of Articles 46-A, 46-B, 49-A and 50-A, approved by the Central Bank through its Standards Committee, in Session No. CN-01/2026 of January 29, 2026, with effect starting from February 13, 2026.