On Wednesday, 10th April 2024, the NIB and NHIB Boards signed a Memorandum of Understanding (MOU) giving the green light for the sharing of the functions of registration, collections and compliance.
The MOU effectively created synergies between the two organizations, reducing administrative / operational costs to both organizations and improving Customer Service Delivery / Satisfaction.
Background
In 1991, the government of the TCI introduced National Insurance for the financial protection of its population in times of sickness, employment injury, maternity, invalidity, retirement, death of a bread winner and old age.
In 2009, the government introduced National Health Insurance to provide affordable, accessible, quality, local and overseas medical care services to its population.
From as early as 2012, a feasibility study revealed and recommended that it would be mutually advantageous for both organizations to consolidate the registrations, collections, and compliance functions of these two vitally essential organizations. It made both practical and business sense to do so at that time and the same holds true today, as it is an undeniable fact that there are obvious duplications of effort when one considers the many commonalities in their current operations:
Main Commonalities/ Duplications
Both NIB & NHIB have, for the most part, the same registration and contributor databases of employers, employees, and self-employed persons. Both NIB / NHIB collect contribution income from the same employers, employees, and self-employed persons.
Both NIB/ NHIB operate and maintain separate IT systems which essentially provide the same services for each organization.
Both NIB and NHIB have a presence on most of the major islands: Providenciales, Grand Turk, and North Caicos and South Caicos.
Both organizations require a compliance department to monitor, inspect, and ensure the timely collection of contributions from the same employers and self -employed persons.
Recommendations were submitted in 2012 for a merging of the registrations, collections, and compliance functions. However, the plan never materialized. The government revisited the idea in 2021, and in 2022 a “shared services” model was proposed to and approved by Cabinet for both organizations: The National Insurance Shared Services (NISS), borne out of the two words common to both institutions: “National” and “Insurance”.
NISS Benefits
Among the main benefits which will be derived from the signing of this Memorandum of Understanding:
Employers, self-employed persons and employees will be able to register online with the new NISS Portal for both organizations at the same time. When one registers with one organization, registration takes place simultaneously with the other organization, thereby effectively eliminating the need to register separately with the other.
Employers, self-employed persons and employees will be able to register at any office of NIB or NHIB for both institutions on any island.
Employers, self-employed persons and employees will be able to register by completing one single form for both organizations, no longer having to complete two separate registration forms.
Employers, employees and self-employed persons will receive a single unique registration number and card for both organizations.
The NHIB Contribution Due Date will be harmonized with NIB for payment by the last working day of each month as opposed to the 14th. Employers, self-employed persons will be able to pay their contributions at any NIB / NHIB office in Provo, Grand Turk, North / South Caicos.
In future, employers, self-employed and employees will be able to access their contribution payment records at any time online to determine their contribution payment history for both organizations.
All Inspectors will be legally empowered to perform all the duties of an Inspector for both organizations simultaneously thereby eliminating duplication.
Both compliance departments will operate as one unit from their current locations and will coordinate compliance activities, which will lead to improved productivity, increased efficiency, reduced duplication /waste, increased compliance collections.