GSB 7.1 Standardlösung

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Reduced earning capacity pension

Diabetes can seriously limit physical functioning and thus compromise the ability to work (Pollmanns et al., 2013). People who receive a reduced earning capacity pension are unable to work at full capacity.

Key messages

  • The number of reduced earning capacity pensions based on a diagnosis of diabetes decreased over time, while figures are lower for women than for men.
  • There are clear differences at federal state level in the number of people receiving a pension due to reduced earning capacity,
    which differ by more than a 3-fold between single federal states.

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trend

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By state

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  • By gender

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  • By age

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  • By education group

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Results

Between 2013 and 2020, there was a reduction in the number of reduced earning capacity pensions due to diabetes for both sexes per 100,000 people insured with the German Statutory Pension Insurance Scheme. While the rate was 12.7 per 100,000 actively insured in 2013, this rate decreased to 9.4 by 2019. In 2020, the decline did not continue and the rate increased slightly to 10.5. In general, fewer women received a pension due to a reduction in earning capacity than men. Clear differences can be seen at federal state level in regard to reduced earning capacity pensions due to diabetes. In 2020, for example, men and women in Saarland (women: 10.5; men: 16.6), Brandenburg (women: 11.4; men: 27.2) and Mecklenburg-Western Pomerania (women: 11.6; men: 27.2) received comparatively more pension payments due to a reduction in earning capacity than in Hamburg (women: 4.5; men: 12.1), Baden-Wuerttemberg (women: 5.4; men: 9.4) and Bavaria (women: 6.8; men: 9.1).

Conclusion

There is a declining trend in the number of reduced earning capacity pensions granted to both men and women due to diabetes, but has recently increased again slightly. The number of persons with diabetes receiving a pension owing to a reduced earning capacity varies by region and corresponds to diabetes prevalence (fact sheet “Prevalence of documented diabetes”) as well as socioeconomic deprivation (Kroll et al., 2017).

Show more information on methodology and data sources

Definition

The indicator Reduced earning capacity pension is defined as the number of pensions granted due to a primary or secondary diagnosis of diabetes (E10.- to E14.-) per 100,000 people who are actively insured (people in work who pay insurance) per year.

Reference population

The population that is actively insured by German Pension Insurance.

Data source

Statistics from German Pension Insurance, which include almost all of the 4,500 disability pension allowances granted annually due to a primary or secondary diagnosis. A total of around 38 million people are actively insured by German Pension Insurance.

Calculation

  • Observed values: The number of primary and secondary diagnoses that lead to a disability pension in relation to 100,000 actively insured individuals. The stratification by federal state is based on place of residence.
  • Age standardisation: Direct age standardisation used one age group for the ages under 30, ten-year age groups for the ages 30 to 39 until 50 to 59, and a separate group for the ages 60 and over. The resident population of Germany as of 31 December 2020 with active statutory pension insurance was used as the reference population.

Data quality

A high quality, complete record of all new cases of pensions linked to benefits for policyholders. In particular, the database does not hold any data on civil servants or people in private/employer-based pension schemes.