Main Contents of the Social Security Agreement Between Korea and Denmark
History of the Agreement with Denmark
- June 1999 : Held the first working-level meeting of the Agreement in Korea
- May 2000 : Held the second working-level meeting of the Agreement in Denmark
- June 2009 : Held the third working-level meeting of the Agreement in Denmark
- March 2010 : Signed the Agreement on Social Security signed in Korea
- September 2010 : Held the meeting for the Administrative Arrangement of the Agreement in Korea
- September 2010 : Held the meeting for the implementation of the Agreement in Korea
- September 2011 : The Agreement on Social Security entered into force
Applicable Legislation
| in relation to Korea | in relation to Denmark |
|---|---|
| (i) the National Pension Act | (i) the Social Pensions Act and the regulations made thereunder (ii) the Act on the highest, the intermediate, the increased ordinary and the ordinary anticipatory pension; and the regulations made thereunder (ⅲ) the Labour Market Supplementary Pension (ATP) Act and the regulations made thereunder. |
Personal Scope of this Agreement
- This Agreement shall apply to nationals of both Contracting Parties, refugees and stateless persons who are or have been subject to the social security legislation of either contracting country and to the members of their families and their survivors.
- ※ For more information, you may refer to the section Agreement
Exemption from Dual Coverage
- ① In general, an employee is subject to the legislation of a contracting country in which he/she is employed.
- ② In general, a self-employed person is subject to the legislation of the country in which he/she works.
→A person who is engaged in self-employment in both contracting countries is subject to the legislation of only the contracting country of which he/she is a resident. - ③ A detached worker is exempt from being subject to the legislation of the country which he/she is sent to for less than 5 years if he/she is covered under the legislation of his/her home country.
→Based on mutual agreement between two countries, those periods can be extended. - ※ For more information, you may refer to the section Agreement or Guide for Exemption Application
[ Applicable legislation under the Agreement ]
| Type | Work Status | Coverage |
|---|---|---|
| Employee | You are working in Denmark | |
| - for an employer in Denmark who hired you | Denmark | |
| - for an employer in Korea who sent you to work in Denmark for less than 5 years | Korea | |
| - for an employer in Korea who sent you to work in Denmark for more than 5 years | Denmark | |
| You are working in Korea | ||
| - for an employer in Korea who hired you | Korea | |
| - for an employer in Denmark who sent you to work in Korea for less than 5 years | Denmark | |
| - for an employer in Denmark who sent you to work in Korea for more than 5 years | Korea | |
| Self-employed | You are self-employed in Denmark | Ordinary residence |
| You are self-employed in Korea | ||
| others | You are employed or self-employed in both countries | Ordinary residence |
| You are employed in one country and self-employed in the other country |
Benefits under this Agreement
- Even though your periods of coverage under the Korean pension scheme are not sufficient to qualify for its pension benefits, you may be eligible for its benefits after this Agreement has entered into force. This is possible due to totalizing the coverage of both countries.
For Danish social pension, Korean nationals may be entitled to its pension under the same conditions as Danish nationals residing in Denmark if they have had a total period of work under the Danish legislation of at least 12 months. This is possible due to provisions on equal treatment. - ① Korean National Pension Benefits under the Social Security Agreement
- - If you do not enough periods of coverage, e.g. 20 years for Full Old-age pension, to qualify for pension benefits under the Korean National Pension Scheme, you may be able to qualify for Korean National Pension benefits by totalizing periods of coverage under the Korean and the Danish pension systems. However, these periods creditable under the Danish pension system must not coincide with those under the legislation of Korea.
- Your benefit is calculated by dividing the Korean periods of coverage by the total periods of coverage and then multiplying by the benefits amount (Theoretical Benefit). The benefits amount (Theoretical Benefit) is calculated based on the total periods in both countries. - ② Denmark Pension Benefits under the Social Security Agreement
- - For Korean nationals, from age 65 with at least 3 years of residence including 1 year of period of work between ages 15 and 65 may qualify for the Danish social pension under the same conditions as Danish nationals residing in Denmark. For foreign nationals with the Social Security Agreement, may be eligible for the pension with at least 10 years of residence including the last 5 years before the pensionable age.
- ③ A person who is or has been subject to the laws of one contracting country and who resides within the territory of the other contracting country, together with his dependents, receive equal treatment with the nationals of the other contracting country in the application of the laws of the other contracting country.
- ④ Despite the provisions on equal treatment, Korean lump-sum refunds are not granted to Danish nationals based on the Agreement.
- ⑤ There is no lump-sum refund under the Danish social security system other than an ATP lump-sum refund which is paid in cases where the ATP pension is lower than the minimum.
- ※ For more information, you may refer to the section Agreement or Guide for Exemption Application
| Korea | Denmark |
|---|---|
| National Pension Service (NPS) | Udbetaling Danmark International Pension& Social Sikring (http://www.atp.dk) |
