Social Security Agreement between Hungary and Republic of Korea

Any person, who has paid contributions in both Hungary and Korea can claim pension benefits under the Agreement, regardless of nationality. In the case of survivors' pensions , the deceased insured person had to pay contributions in both countries.

RULES ON THE PAYMENT OF CONTRIBUTIONS

The obligation to pay contributions applies, as a general rule, in the country where the person concerned earns the income as an employee or as a self-employed person.

For self-employed persons, contributions are payable in the country where the self-employed person is resident.

If the employed person or self-employed person carries out activities in Hungary and Korea simultaneously, contributions are payable in the country of residence.

For posted workers, the country in which the posting employer is established is the country where contributions are payable.

Special rules apply to persons serving as officers or members of the crew of a seagoing ship, aircraft, diplomatic missions and civil servants.

In order to determine the existence of insurance, i.e. the obligation to pay contributions, the request must be submitted to the government office acting as the competent health insurance administration body for the place of business of the employer in Hungary.

SUBMITTING A CLAIM FOR PENSION BENEFITS

In the case of residence in Hungary you should complete the following documents:

To claim Hungarian benefit, the following forms must be submitted, corresponding to the benefit applied for:

for a claim for old age pension benefit, the form called “In the case of a claim for international old-age pension and other benefits in own right for service periods acquired in a contracting party of the agreement”
for a claim for survivor’s pension, depending on the type of claim, the following forms are relevant:

for widow(er)’s pension or an work accident-related widow(er)’s pension “Claim for widow(er)'s pension or work accident-related widow(er)'s pension under the scope of Act LXXXI of 1997, Act LXXXIII of 1997 and social policy or social security agreement” or
for orphan's allowance or a work accident-related orphan's allowance the so called „Claim for orphan's allowance or work accident-related orphan's allowance under the scope of Act LXXXI of 1997, Act LXXXIII of 1997 and social policy or social security agreement” or
for parental pension or work accident-related parental pension „Claim for parential pension or work accident-related parential pension under the scope of Act LXXXI of 1997, Act LXXXIII of 1997 and social policy or social security agreement”

When applying for a Korean pension, a HUN-KOR 2 form must also be completed in addition to the Hungarian forms.

The forms required for submitting a claim can be obtained from the pension insurance institutions or downloaded from the "Related forms" menu point.

The claim form must be accompanied by the available documents relating to the Korean employment relationship.

The claim can be submitted in person or by post.

It may be submitted in person at the customer service of the government office of the capital or county according to the place of residence or stay.

If it is submitted by post, the envelope must be addressed to the Government Office of the Capital City Budapest and marked with the uniform postal address 1916 Budapest.

The claim may be submitted by the applicant's legal representative (guardian) or by their authorised representative, accompanied by a document proving the representation.

In the case of an application for a Hungarian survivor’s benefit, if a survivor's pension has already been established in relation to the deceased insured person or if the application is for the revival of a survivor's pension previously paid, the claim may also be submitted at the customer service of the Pension Payment Directorate of the Hungarian State Treasury (1139 Budapest Váci út 73.).

The date of submission of the claim in Korea is also the date of submission of the claim to the Hungarian pension insurance institution.

The application, the documents attached by the applicant and the certificate of period of service recognised under Hungarian legislation will be forwarded by the Government Office of the Capital City of Budapest to the National Pension Service International Center (22nd Fl., 173 Toegyero, (Namsan Square Bldg., Chungmuro 3-ga), Jung-gu, Seoul, 04554, Korea) the pension insurance body responsible for the assessment of the Korean pension.

In the case of Korean residence:

If you have any questions about how to apply for a Korean pension or if you are eligible for a Korean pension, it is advisable to contact the Koean pension administration body in your place of residence.

To apply for a Hungarian pension, in addition to the Korean forms, form KOR-HUN 2 should be submitted to the Korean pension administration body.

The contact details of the Central Pension Body are:

National Pension Service Center for International Affairs

Address: 6th FL, 180 Giji-ro Deokjin-gu, Jeonju-si, Jeollabuk-do, 54870 Korea

Telefon: +82 063-713-7106, +82 063-713-7172, + 82 063-713-7175

Fax: + 82 063-900-3404, + 82 063-900-3408

website: http://nps.or.kr/jsppage/english/main.jsp

ASSESSMENT OF PENSION CLAIMS

The periods certified by the competent Korean institution under the Agreement can only be taken into account if entitlement cannot be established on the basis of Hungarian service periods alone.

The minimum periods required for a Hungarian pension are as follows:

15 years of service period for old age pension,
40 years of eligibility period for women's preferential pension,
in the case of a survivor's pension, the service period required for the age of the deceased insured person.

If the entitlement for the benefit cannot be established solely on the basis of the Hungarian service period, the insurance periods certified by the Korean pension administration body shall also be taken into account for the pension as if they had been completed under Hungarian legislation, provided that they do not fall within the same period.

The Agreement excludes double insurance, but periods of service completed in Hungary and Korea before the date of entry into force may overlap. These periods may be taken into account only once when applying the aggregation rule.

If the applicant has at least 15 years of service period required for a Hungarian pension only after aggregating the periods of insurance, the amount of the pension is calculated on the basis of the Hungarian and Korean periods of insurance. In the case of a survivor's pension, the period of insurance in Korea shall be taken into account if the deceased insured person does not have the service period in Hungary corresponding to their age.

The pension to be determined is the proportion of the insurance periods completed under Hungarian legislation in relation to the total insurance periods. The amount of the Hungarian pension is determined solely on the basis of earnings and income in Hungary.

If the completed insurance period is less than one year and no benefit can be established on that basis in the country where the insurance period was completed, the period of less than one year certified by the Korean pension administration body shall be taken into account as Hungarian insurance period, while the Hungarian period of less than one year shall be taken into account as Korean insurance period.

PAYMENT OF PENSION BENEFITS

Pension benefits are paid directly to the beneficiary in accordance with the legislation of the country that established them. The amount of the established benefit shall remain unchanged for the beneficiary living in the territory of the other country.

The established Hungarian benefits are paid by the Pension Payment Directorate of the Hungarian State Treasury (1139 Budapest, Váci út 73., postal address: 1820 Budapest), detailed information on which can be found in the information "Payment options for beneficiaries living abroad".

Hungarian State Treasury