Debts created between 2006 and 2012 and procedures not yet initiated electronic EFKA and Insurance Debt Collection Center (KEAO) for their legitimate retrieval, they are the ones who are statute of limitations since the expected circular has been issued and a provision has been enacted which now sets a new statute of limitations of 10 years.

It is estimated that the statute of limitations already covers debts of around 1 billion euros, compared to total debts owed to EFKA and KEAO which exceed 45.5 billion euros. Experts, of course, believe that the most favorable to the provision that ratified the decision of the State Council (SC) are freelancers and Self employed with the debts of past years, which through the statute of limitations see the door to retirement open.

Be careful. As is clear from the relevant circular published yesterday, the statute of limitations applies only to debts not confirmed by e-EFKA. In particular, the circular establishes in 10 years – from 20 that were valid until today – the time that e-EFKA has at its disposal to confirm and collect claims for unpaid insurance premiums. If the e-EFKA application is not confirmed and the insured is not notified of the debt within this period, the debt will expire.

The limitation period applies to all categories of insurance premium debtors (employers, self-employed, self-employed, farmers). And no insurance application is required. The statute of limitations procedure for confirmed debts will be carried out centrally and en masse every year by the KEAO services, and the corresponding debts will no longer appear in the debtor’s records. Of course, in the event that the insured wants to file an objection regarding overdue debts, he can do so by contacting the local e-EFKA address to which he belongs.

The possibility of limitation ceases to apply when e-EFKA or KEAO – within 10 years – notifies the insured about the debt in any way: by bailiff, letter, electronic notification, if there is an administrative penalty for its collection (notification of an individual notification, seizure on movable/immovable property or claims in the hands of a third party, determining the schedule of auctions, etc.).

The measure mainly targets the self-employed, who are waiting for part of their debts to expire in order to then pay off the rest – up to 20,000 euros, as required by law – and begin the retirement process.

The circular states that after the statute of limitations expires (even in the case of 20 years under previous legislation), self-employed insured persons are entitled, after filing an application that is submitted simultaneously with a pension application, to require inclusion both to establish their pension eligibility and to increase their pension, all or part of the insurance period for which EFKA claims have expired. The main condition is that they pay all due insurance premiums and all kinds of additional fees, interest, surcharges, fines and fees, as well as other amounts that are collected.

So, for example, a self-employed person who applied for a pension in 2022 and is in arrears on contributions for 2002-2011, which EFKA did not attribute to him until the time of application, will see that these contributions expire. If, of course, he still needs 5 years of insurance to establish the pension right, then he has the opportunity to pay 5 of the 10 required years to recognize them as insurance experience. If EFKA notifies the insured of proof of payment of said premiums within ten years of its creation (an event interrupting the statute of limitations), then the insured must pay all premiums. If otherwise, for example. in 2019, some debt was confirmed, and then, at the request of the insured, the debt from 2008 was repaid, this debt is overdue based on the new provision. This debtor may, by his application, demand the cancellation of his remaining debt with an expired limitation period. However, he may continue to service the agreement so that an insurance period corresponding to the debt is recognized.

If someone owed self-employment insurance premiums in 2018 and didn’t pay them, the statute of limitations starts on January 1, 2019. If he was not notified that he owed by December 31, 2028, the claim will be statute of limitations. However, if the debt is confirmed and an individual notice is sent to it on October 5, 2021, the limitation period is extended until December 31, 2031. On March 10, 2030, the limitation period is extended until December 31, 2041.

For workers whose employers are in arrears between 2006 and 2011, the circular clarifies that they do not lose their insurance rights.

It should be noted that by law, debts created from 2026 onwards will be paid off in 5 years, so that the statute of limitations for insurance debts approaches tax debts.