More than 300,000 small firms to double their expenses due to increased insurance costs

Insurance costs for some 300,000 small businesses will jump dramatically because of the amendments to the Social Insurance Code (SIC), which will affect the working retired, taxi drivers, who are also owners of the company, grocers who own the shop and sell in it, etc. According to the Sofia Chamber of Commerce and Industry (SCCI), the amendments to the SIC will increase insurance costs, for example, of a taxi driver, to BGN 223.93, compared to last year. A head of a family business will pay up to BGN 308 more. SCCI addressed a letter to Finance Minister Simeon Djankov and National Revenue Agency's (NRA) head, Krasimir Stefanov, with a number of questions which, according to SCCI, pose pitfalls for the insured.

According to the SIC (Art.4) „Obligatory insured shall be: the contractors in contracts for management and control of commercial companies, sole traders, syndics and liquidators, as well as members of non-personalised companies," reads the open letter. "The insurance payments for the workers and the employees shall be due for the received, inclusive the accounted and non-paid gross monthly remuneration, but not more than the maximum monthly amount of the insurable income," which means that managers will be obligatory insured, even if their remunerations have not even been accounted or paid yet.

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