Sweden Finland Austria

Disability/invalidity
Industrial injuries are related to accidents at work or diseases developed from work.
Disability is related to illness in general. The typical 
route' for disability pensioners is

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illness and then a decision on rehabilitation or disability pension. Disability pension is
usually obtained after illness for a considerable time and mainly if the loss of working
capability is permanent. Sickness or related benefits may cover the interim period, which,
as mentioned, may be long.
In the cases illustrated here it is only the permanent benefit which is included in the calcu-
lation, and the impact is related to current (1997) income.
The age is sometimes important for the first time recipient of disability pensions (accrual
rates vary in some countries with age). In the cases illustrated here, it is assumed that the
first time recipient is max. 50 years old. In cases where a specific age is needed (e.g. for
taxation in Germany, and age related supplements in Great Britain) this is assumed to be
35 years.
Disability pensions from private or labour market arrangements have been disregarded.
The principles for disability pensions vary considerable among the 8 countries studied. In
some countries the disability pension scheme is aligned to the old-age pension scheme.
This is e.g. the case in Denmark, Sweden, Finland, Austria, Germany and Canada. In other
countries it is aligned to sickness benefits, e.g. in Great Britain and the Netherlands.
Anticipated' pension points or years are used in several countries to calculate an old-age
like pension. Important criteria for characterization of disability pension schemes include:
Minimum and maximum age for first time recipients of disability pension?
Does disability pension continue as old-age pension?
Are all citizens eligible for pensions from the scheme or the basic part of it?
Is the pension dependent on former work and income or is it a 
flat-rate'?
Is the pension graduated according to the loss of working capability?
Is the pension dependent on the age of the first time recipient?
Is the level of the pension dependent on being married or single?
Is the pension means tested?
Is there an additional scheme?
The categorization of the public disability pension schemes according to these criteria is
contained in table 2.8.

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Table 2.8. Characteristics of public disability pension schemes in 8 countries, 1997.
DK
S
FIN
A
Basic Public Scheme
Minimum age, start
18
16
16
-
Maximum age, start
66
64
64
56
1)
Continue as
old-age pension
No
No
Yes
Yes
Eligible groups
All
All
All
Employees
Pension dep. on
work hist. and income
No
No
No
Yes
Pens. graduated ac-
cord. to loss of w. cap.
Yes
Yes
No
No
Pens. dependent on
age of 1st time recip.
Yes
No
No
Yes
Pens. dependent on
marital status
Yes
Yes
Yes
No
Means testing
Yes
Yes
Yes
No
Additional Public Scheme
Existence
None
Yes
Yes
None
Eligible groups
Empl. + self.
Empl. + self.
Pension dependent on
work hist. and income
Yes
Yes
Continue as old-age
Yes
Yes
pension
1)
Persons who become disabled in the age bracket 57-64 years (55-59 for women) receive an early
retirement pension.
2)
Persons who become disabled in the age bracket 60-64 years start in the retirement scheme for dis-
abled, where the formal retirement age is 60 years.
3)
Only disability pension due to 
Erwerbsunfähigkeit', 
Berufsunfähigkeit' based pension will be increased
as old-age pension.
4)
From 1998 there will also be a scheme (WAZ) covering self employed.
5)
The duration of the benefit at the highest level depends on the age of the first time recipient.
6)
Incapacity Benefit and Severe Disablement Allowance both have age additions, highest for young
people.

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