Regarding the implementation objectives, the goal is to increase the proportion of people receiving social insurance benefits through non-cash payment methods in accordance with the Government and Prime Minister’s policies. The process includes reviewing and verifying the recipients and their eligibility to ensure strict management of the beneficiaries, and payment to the right recipients and under the right regime; and to prevent abuse and exploitation of the insurance fund. This process will be implemented nationwide and will apply to the following groups: pension recipients and monthly social insurance allowance beneficiaries (over 3.3 million beneficiaries).

Implementation principles: Perform the functions and tasks of the two sectors correctly, ensuring the safety and security of information, digitizing to update pension and social insurance data in accordance with the provisions of the law, without creating any additional responsibilities or obligations for citizens compared to the current regulations. Create favorable conditions for beneficiaries.

C06 - Ministry of Public Security, Vietnam Social Security (Department of Finance and Accounting, Department of Health Insurance Implementation, Information Technology Centre, and Information and Communication Centre) are responsible for the implementation; District-level social security offices; District-level police agencies, and commune-level police agencies are the implementing units.

The implementation method includes the following steps:

Step 1: Communication to ensure that beneficiaries understand the principles and implementation methods; creating consensus among the people and beneficiaries.

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Communication should focus on the payment of pensions and social insurance benefits through specific accounts: ⁽¹⁾ It is the policy of the Party and State; ⁽²⁾ It creates favourable conditions for people to get access to social security services, especially the cashless payment of social insurance benefits; affirming   the people’s right to social security with the spirit of “not leaving anyone behind” in digital transformation; ⁽³⁾ It contributes to the management of pensioners and social insurance beneficiaries, ensuring the correct and timely payment amount to the right recipients.

Step 2: Extracting and classifying data

Vietnam Social Security (the Information Technology Centre) performs data extraction of individuals eligible for social insurance benefits on a monthly basis (specific information attached in the appendix). The data is transferred to C06, which then forwards it to the commune-level police via the Ministry of Social Security’s National Population Database. The commune-level working groups (local police force/community security force as the core; local social security officers; in coordination with banks, especially banks where the provincial Social Security Office have opened retirement and death benefit accounts; commune-level cultural-social officials, and postal officers). The transferred data is classified into two groups:

(1) Regarding data which is already matched between the national population database and the insurance database (about 2.1 million beneficiaries)

The working group proactively reviews and verifies the status of the beneficiaries, and encourages them to switch to receive the benefits via personal bank accounts.

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(2) Regarding data which remains unmatched and incomplete between the national population database and the insurance database (about 1.1 million beneficiaries)

The professional departments of the local social insurance office will collaborate with the working group to review, verify, update and clean the data.

Step 3: Communicate to encourage each social insurance beneficiary to receive the benefits via bank accounts in combination with verification and cleaning of the beneficiary’s data.

Commune-level working groups go to the payment points during the payment periods to meet the beneficiaries directly or visit their homes (in case beneficiaries register to receive payments via bank accounts, authorised beneficiaries, elderly beneficiaries, beneficiaries who are unable to travel, or those who have not been able to meet at the payment points) and use the survey questionnaire (including the main contents: whether they want to receive social insurance benefits via bank accounts or not; if not, specify the reasons: because the withdrawal location is too far/concerns about bank security/habits/other reasons…) to classify the groups of beneficiaries who want to receive the benefits via bank account or in cash.

(1) For beneficiaries who already have a bank account and registered to receive payments through the account: reconfirm the registration to receive the benefits through the account, verify the beneficiary’s identity and their status.

(2) For beneficiaries who already have a bank account but have not registered to receive payments through the account: encourage them to register to receive the benefits through their account (Social security staff guides the beneficiary to fill out the form 2-CBH to facilitate the process of changing the payment method).

(3) For beneficiaries who do not have a bank account: promote and communicate the importance of opening a bank account and receiving benefits through the account (bank staff assists beneficiaries in opening an account).

In cases where the beneficiary wishes to authorise another person to receive the benefits through a bank account or not through a bank account, s/he can authorise it (The authorisation must comply with the regulations specified by the laws on delegation).

(4) For beneficiaries who are unable to register a bank account (The elderly; persons with limited mobility; or those without a representative to authorise), the payment can continue to be made at their residence through a payment service supplier.

*During the implementation process, the beneficiary’s information is supplemented and verified; commune-level police update the information that has been authenticated and cleaned into the professional software for integration into the national population database.

           Step 4: C06 transfers standardised and cleaned data to the Vietnam Social Security and updates the deposit account information of each beneficiary that has been standardised into the VNeID software (this subsystem will be implemented in the following phase).

After the data from both sides has been standardised and cleaned; in the following phase, the data of new beneficiaries or the status of existing beneficiaries will be connected and periodically updated through the national population database and the national insurance database.

The National Population Database Centre – The Police Department for Administrative Management of Social Order, Ministry of Public Security and the Department of Finance and Accounting, Vietnam Social Security are the two units responsible for collaborations; and for disseminating, and supervising the implementation of this process./.