Revised Government Service

Insurance Act of 1997

Republic Act No. 8291
 GSIS
What is the GSIS Act of 1997?

GSIS Coverage, Benefits and

Beneficiaries
 Starter
Republic Act No. 8291
Enacted on May 30, 1997
Full Title: An Act Amending Presidential Decree No. 1146, as
amended, Expanding and Increasing the Coverage and
Benefits of the Government Service Insurance System,
Instituting Reforms Therein and For Other Purposes
Short Title: Revised Government Service Insurance Act of
1997
 Purposes
To provide and administer the following social security
benefits for government employees:
a. Compulsory life insurance
b. Optional life insurance
c. Retirement benefits
d. Disability benefits for work-related contingencies
e. Death benefits
 Definition of Terms
Employer
a. National Government
b. Its political subdivisions, branches, agencies, instrumentalities
c. GOCCs and financial institutions with original charters
d. Constitutional Commissions and the Judiciary
Employee or Member
Any person receiving compensation while in the service of an
employee, whether by election or appointment, irrespective of
status of appointment
Includes barangay and sanggunian officials
 Definition of Terms
Compensation
Basic pay or salary received by an employee, pursuant to his
election or appointment
Does not include per diems, bonuses, OT pay, honoraria,
allowances, and any other emoluments received in addition to
the basic pay which are not integrated into the basic pay under
existing laws
 Definition of Terms
Dependents
Legitimate spouse dependent for support upon the member
or pensioner
Unmarried and not gainfully employed legitimate,
legitimated, legally adopted, or illegitimate child, or over the
age of majority but incapacitated or incapable of self-
support due to mental or physical defect acquired prior to
age of majority
Parents dependent upon the member for support
 Definition of Terms
Primary Beneficiaries
a. Legal dependent spouse, until he/she remarries
b. Dependent children

Secondary Beneficiaries
a. Dependent parents
b. Legitimate descendants, subject to restrictions on
dependent children
 Coverage
All employees, irrespective of employment
status, who are employed with:
1. the National Government, its political
subdivisions, branches, agencies or
instrumentalities
2. GOCCs
3. Government financial institutions with
original charters
4. Constitutional Commissions
5. Judiciary
 Membership
Compulsory
Exceptions
Membership

Membership shall be compulsory

for all employees receiving
compensation who have not Members of the AFP and PNP
reached the compulsory retirement
age, irrespective of employment
status

(Section 3)
Classification of
Members
1. Active members
Who are they?

2. Policyholders 1. Members of the Judiciary

2. Members of the
Constitutional
Commission

3. Separated members

4. Retired members
 Entitlements of Members
Entitlements of
Exception
Members

Members shall have:

1. Life Insurance
2. Retirement benefits Members of the judiciary and
3. Disability benefits constitutional commissions only
4. Survivorship benefits have life insurance
5. Separation benefits
6. Unemployment Benefits
 Benefits

1. Separation benefits
2. Unemployment Benefits
3. Retirement benefits
4. Disability benefits
5. Survivorship benefits
6. Funeral Benefits
7. Life Insurance
1. Separation
Benefits 2 arrangements:
1. Rendered at least 3 years
Conditions but less than 15 years of
service
2. Rendered at least 15 years
1. Rendered at least 3 years of of service but less than 60
creditable service years old
2. Resigned or separated from
service

(Section 11)
1. Separation Benefits
At least 3 but
less than 15
years of
service
Cash payment equivalent to
100% of the average monthly
compensation for every year
of service the member has paid
contributions
Conditions:
a. Not less than P12,000
b. Payable upon 60 years of
age or upon separation,
whichever comes later
At least 15
years of
service but less
than 60 years
of age
Cash payment equivalent to 18
times the BMP, payable at the
time of resignation or
separation
Plus an old-age pension
benefit equal to the BMP,
payable monthly for life upon
reaching the age of 60
(Section 11)
 2. Unemployment
Benefits
Conditions
1. Recipient is an employee at the
time of separation
2. Separation was involuntary due to
the abolition of his office or
position resulting from
reorganization
3. Paid the contribution for at least 1
year prior to separation
(Section 12)
 2. Unemployment Rules

Benefits
Monthly cash payments equivalent to 50% of
the AMC

Cash payment equivalent to 18 times

A member who has rendered at least 15 years
the BMP, payable at the time of of service will be entitled to separation benefits
resignation or separation
+ instead of unemployment benefits
Old-age pension benefit equals to the
BMP, payable monthly for life upon
reaching the age of 60
(Section 12)
3. Retirement Options with
regard to

Benefits
retirement
benefits

The retiree may get either of the

following:
1. Lump sum payment equivalent to
Conditions to be entitled:
60 months of the BMP payable at
1. Rendered at least 15 years of service the time of retirement and an old-
2. At least 60 years old at the time of age pension benefit equal to
retirement BMP payable for life, starting
3. Not a recipient of a monthly pension upon the expiration of the 5 years
benefit from permanent total disability covered by the lump sum
2. Cash payment equivalent to 18
times his BMP and monthly
pension for life payable
immediately
(Section 13)
4. Disability
Total Disability

Complete incapacity to continue with

Benefits
present employment or engage in any
gainful occupation due to the loss or
impairment of the normal functions of the
physical and/or mental faculties of the
member
2 kinds
a. Permanent disability
1. Permanent Total Disability
2. Permanent Partial Disability Temporary
Disability
b. Temporary disability

Arises when the impaired physical and/or

mental faculties can be rehabilitated
and/or restored to their normal functions

NOTE:
Recovery is precluded if the permanent disability is caused by employee’s grave
misconduct, notorious negligence, habitual intoxication, or willful intention to kill
himself or another.
(Sections 16-18)
 Disabilities
Permanent Total Permanent Partial
Disability Disability
1. Complete loss of sight of both eyes Complete and permanent loss of the use of:
2. Loss of 2 limbs at or above the ankle 1. any finger
or wrist 2. any toe
3. Permanent complete paralysis of 2 3. one arm
limbs 4. one hand
5. one foot
4. Brain injury resulting in incurable
6. one leg
imbecility or insanity
7. one or both ears
5. Such other cases as may be 8. hearing of one or both ears
determined by the GSIS 9. sight of one eye

NOTE:
Recovery is precluded if the permanent disability is caused by employee’s grave misconduct,
notorious negligence, habitual intoxication, or willful intention to kill himself or another. (Sections 16-17)
Permanent Total Disability (PTD)
If in the service at the time of disability
Monthly income benefit for life equivalent to the BMP effective
from the date of disability

If in the service at the time of disability and has paid a total of at

least 180 monthly contributions
Monthly income benefit
Cash payment equivalent to 18 times his BMP

NOTE:
A member cannot enjoy the monthly income benefit for permanent disability and the old-age
retirement simultaneously
Permanent Total Disability (PTD)
If separated from service at the time of disability
Monthly income benefit for life equivalent to the BMP effective
from the date of disability

Conditions:
He has paid at least 36 monthly contributions within 5 years
immediately preceding his disability; or
He has paid a total of at least 180 monthly contributions prior
to his disability

(Section 16)
Permanent Total Disability (PTD)

If conditions are NOT satisfied but has rendered at least 3 years of

service

Advanced the cash payment equivalent to 100% of his AMC for

each year of service he has paid contributions
Cash payment shall not be less than P12,000.00

(Section 16)
Permanent Partial Disability (PPD)
Cash payment in accordance with the schedule of disabilities to
be prescribed by the GSIS
Conditions:
He satisfies any of the following:
1. He is in the service at the time of disability
2. He is in the service at the time of disability and has paid a total of at least 180
monthly contributions
3. He is separated from service but has paid at least 36 monthly contributions
within the 5 year period immediately preceding disability
4. He is separated from service but has paid a total of at least 180 monthly
contributions

(Section 17)
 Suspension of
Payment of Benefits

1. In case a member is re-

employed
2. Member recovers from
disability as determined by the
GSIS
3. Fails to present himself for
medical examination when
required by the GSIS
Temporary Total Disability (TTD)
75% of member’s current daily compensation for each day or
fraction thereof of temporary total disability benefit, to start not
earlier than the 4th day but not exceeding 120 days in one calendar
year after exhausting all his sick leave credits and CBA sick leave
benefits, if any
Conditions:
1. He is in the service at the time of disability; or
2. He is separated from service but has rendered at least 3 years of service and
has paid at least 6 monthly contributions in the year preceding his disability
Prescription: Application for disability must be filed within 4 years from the occurrence of the
contingency

NOTE:
A member cannot enjoy the TTD benefit and sick leave pay simultaneously (Section 18)
5. Survivorship
Benefits
Who are entitled?
Beneficiaries of the Benefits

pensioner or member, upon

50% of the BMP as basic
his death survivorship pension
Not exceeding 50% of the
BMP as dependent
children’s pension

Pensioner - Any person receiving old-age PTD pension or any person who has received the lump sum excluding 1 (Section 20)
receiving survivorship pension benefits
5. Survivorship Benefits
Primary Beneficiaries
1. Survivorship pension
In the service at the time of his death; or
If separated from the service, has rendered at least 3 years of service at the time of his
death and has paid 36 monthly contributions within 5 years immediately preceding his
death; or has paid at least 180 monthly contributions prior to his death
2. Survivorship pension plus cash payment equivalent to 100% of
his AMC for every year of service
In the service at the time of his death with at least 3 years of service
3. Cash payment equivalent to 100% of his AMC for each year of
service he paid contributions but not less than P12,000
At least 3 years of service prior to his death but does not qualify under (1) and (2)

(Section 21)
5. Survivorship Benefits

Secondary Beneficiaries
1. Cash payment equivalent to 100% of his AMC for
each year of service he paid contributions but not
less than P12,000
At least 3 years of service prior to his death

If there are no secondary beneficiaries, the benefits shall be paid to

his legal heirs.

(Section 21)
 6. Funeral Benefits
Who are entitled?
1. Active member
To whom payable?
2. Member who has been separated
1. Legitimate spouse
from the service but is entitled to
2. Legitimate child who spent for the
future separation or retirement
funeral services
benefits
3. Any other person who can show
3. Member who is a pensioner
unquestionable proof that he has
(excluding survivorship pensioners)
borne the funeral expenses of the
4. Retiree who, of pensionable age at
deceased
the time of his retirement, opted to
retire under R.A. No. 1616

R.A. No. 1616 - An act further amending Sec. 12, C.A. 186, as amended, by prescribing two other modes of retirement and for
other purposes (Section 23)
7. Life Insurance

2 classes
a. Compulsory Life Insurance
b. Optional Life Insurance

Prescriptive period

GR: 4 years from the date of contingency

XPN: Life insurance and retirement

(Sections 24,28)
 Life Insurance
Compulsory Life Optional Life
Insurance Insurance
Who are entitled? Who may apply?
All employees, including the members 1. Any member for himself and/or
of the judiciary and the constitutional for his dependents
commissions Insurance
Pre-need coverage
Who are not entitled? 2. Any employer for group insurance
Members of the AFP, PNP, BFP, and coverage for its employees
BJMP

(Sections 24,26)
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