On March 6, 1991, the Nitijela passed Public Law 1991-118 also known as the Social Security Health Fund Act of 1991, as amended, which directed MISSA to administer the Marshall Islands Social Security Health Fund.
From that time on, workers and their employers each contribute a percentage of their wages to the Health Fund according to the following schedule:
- 2.5% for wages paid From Oct. 1991 to Mar. 1997
- 3.5% for wages paid from Apr. 1997 to Dec. 2000
- 2.5% for wages paid from Jan. 2001 to Dec. 2001
- 3.5% for wages paid from Jan. 2002 to present
On April 11, 2002, the Nitijela passed Public law 2002-57 to repeal to the Social Security Health Fund Act of 1991 and to transfer the administration of the Health Fund to RMI’s Ministry of Health (MOH). However, the formal turnover did not take effect until December 1, 2002, with MISSA’s Deputy Administrator for Health Fund and the entire Medical Referral Team being absorbed by MOH.
For accounting purposes, all Health Fund contributions collected by MISSA starting January 1, 2003 were no longer reflected in MISSA’s books. As part of an agreement with MOH, however, MISSA remains responsible for the quarterly collection of Health Fund contributions. In return, the MOH pays MISSA 3.5% on the first $4.0 million collected each year as administrative fees.
Health Fund contributions collected by MISSA:
- 2003 $3.95 million
- 2004 $6.49 million
- 2005 $5.70 million
- 2006 $6.00 million
- 2007 $5.85 million
- 2008 $6.22 million