Unpaid National Insurance Certificate

 A provision has been made in relation to the civil recovery of sums owed to the NIB under the Ordinance, that the Director will have the discretion to certify the sums owed in a certificate called an unpaid national insurance certificate, which would be filed and registered in the Magistrates’ court. The certificate would have the effect of a judgment after twenty-one (21) days, unless the person to whom the certificate relates files a defense within fourteen (14) days of receipt of the certificate.

 The vast majority of the National Insurance Board cases filed in court take a very long time before a decision is given. Very often cases are on the court docket in excess of a year. The NIB is seeking to expedite this process for the benefit of employees who are depending on contributions to be paid in order for their claims to be processed and paid. The proposed amendment would greatly reduce the amount of time that NIB cases are in the court system before a judgment is given.                                                                        

Garnishment of Wages

The National Insurance Ordinance now makes provision for the garnishment of wages where a person is indebted to the Fund and there is liability by a third party to make a payment to the person who owes the NIB. The Director in such circumstances may deliver to the person (third party), a demand for payment not exceeding one-third (1/3) of the sum payable to the person until the debt is fully paid.

Any person who receives a demand for payment and fails to pay the Board the sums specified commits an offence and is liable upon conviction to a fine of $5000 or to a term of imprisonment of six months or to both.