European Union law coordinates the different systems of social security in the individual member states. The principle applies that persons who work, live, or go on vacation within the EU due to their freedom of movement and residence rights should not be disadvantaged in terms of their entitlements to benefits. The responsible social insurance institution provides detailed information on entitlements to benefits.
The relevant provisions include, for example, benefits for:
- illness,
- maternity/paternity,
- incapacity for work due to illness,
- retirement,
- occupational accident/occupational disease, and
- unemployment.
A distinction must be made between cash and in-kind benefits. The former are generally paid out according to the law of the state responsible for the insurance. In-kind benefits, on the other hand, are provided according to the provisions of the country in which they are actually used.
In bilateral agreements, it is important to pay attention to which classes of insurance the respective agreement applies to (for example, with the USA, there is only an agreement regarding pension insurance).