In the following lines we have put together basic rules you need to know about A1 social coverage certificate. The guide below answers important questions such as: “What is an A1 certificate useful for?”, “Why do I need to apply for an A1 social coverage certificate?”, “What are the cases when an A1 certificate must be requested from the authorities?”.
What is an A1 certificate useful for?
An A1 certificate represents a social coverage certificate that must be issued by relevant authorities in an EU member state for a person working on another EU member state’s territory. The main purpose of a social coverage certificate is for confirming the individual’s enrollment in the social security system in that member state.
The certificate is issued by the country where the employee remains subject to the social security legislation. The social contributions covered under an A1 certificate refer mainly to: pension, health insurance, child benefits, unemployment.
When must an A1 certificate be requested from the authorities?
Any cases of employee mobility through the EU member states generate the obligation to secure the A1 certificate for those employees. Most commonly known cases of international mobility when an A1 certificate application is required are:
- Posting of employees (secondments) – when an employee is sent to carry out his/her activity in another EU country, for a temporary period;
- Multi-state workers – employees working in two or more EU states, during the same period, or during consecutive periods;
- Self-employed individual from an EU country, pursuing the same activity in another EU country for a temporary period;
- When an individual is self-employed in two or more EU states in the same time;
- When an individual is rendering employment activities in one member country and self-employment activities in another member country
- Civil servants pursuing activities in two or more member countries.
Why do I need to apply for an A1 social coverage certificate?
The A1 form’s main purpose is to attest that an individual, whenever in any of the situations listed above, remains insured in the social security system of only one EU member state. Thus, the certificate helps avoiding paying mandatory social security contributions in more than one EU country in the same time.
European companies from other EU member states may choose to temporarily post employees to Romania. In the same time, Romanian companies are very frequently posting employees for temporary periods to other EU countries. When doing so, they must comply with the EU social security provisions under the EU Regulation (EC) No 883/2004, which includes also applying for A1 certificates for their employees.
Authorities in the host state can verify if an A1 certificate has been issued for an employee working on their territory. In case the document is not available, the authorities can apply significant fines, along with imposing the employer and employee to start paying social contributions in the host country.
How long does it take to get the A1 certificate in Romania?
The application for an A1 social coverage certificate may take significant time (from 10 business days to 40 business days, or even more), depending on each member state’s applicable procedure.
Under the procedure established by Romanian authorities, the application for an A1 certificate takes approximately 30 to 45 days.
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