Possibilities For Overcoming Issues In The Phase Of Old-Age Pension Payments From An Universal Pension Fund

Abstract

The structuring of the pension model, the exploration of its characteristics and parameters, as well as of pension products, their role, and the potential to ensure long-term social security in an environment marked by socio-economic and demographic challenges, is a significant and relevant thematic area. The focus of the study is on presenting the structure, the regime, the insurance parameters, the pension products, and the functioning model of insurance in an universal pension fund. The conclusion reached is that the most payments to the first pensioners are deferred for a period of up to three years, while lifelong payments constitute a very small portion. This fact raises questions about the level of social security, and consequently, the ability of the second pillar of the multi-pillar pension model to fulfill the assumed public commitments and meet personal expectations. Possibilities have been outlined to increase the proportion of pensionners receiving lifelong pensions while decreasing the proportion of those receiving deferred and one-time payments. This, in turn, will lead to long-term and, at the same time, higher social security for Bulgarian pensioners.