CMNT_TITLE

Part II (Invalidity benefit), Article 12 of the Convention (in conjunction with Article 32, paragraph 1(e)). In its previous observation, referring to the decisions of 25 August 1993 and 21 February 1994 of the Federal Insurance Court, the Committee asked the Government to bring the national legislation, particularly section 7(1) of the Federal Invalidity Insurance Act (LAI) allowing cash benefits to be reduced in the event of serious negligence, into full conformity with the above provisions of the Convention, which allow benefits to be suspended only where the contingency has been caused by serious wilful misconduct on the part of the person concerned. The Committee notes with satisfaction that, as regards the reduction and refusal of benefits, section 21(1) and (2) of the Social Insurance (General Provisions) Act (LPGA), which came into force on 1 January 2003, specifies that cash benefits may be reduced or refused, inter alia, if the insured person has aggravated the risk concerned or wilfully caused it to materialize; the benefits payable to the insured person’s dependants or survivors may be reduced or refused only if the dependants or survivors have wilfully caused the risk to occur. The LPGA applies to invalidity insurance unless the LAI expressly provides otherwise. The above provisions of section 7(1) of the LAI have been repealed.