Terms for Israelis returning from overseas after a continuous overseas stay of over two years and wishing to obtain health insurance in Israel have been made easier.
The government relaxed the requirements under an amendment that passed on its second and third Knesset readings last week. The previous conditions were too demanding, and prevented many Israelis from returning. Under the amendment, returning Israelis must still wait two months for their health insurance rights to be restored for each year of absence, but the maximum waiting period has been shortened from 24 to eighteen months.
The most significant benefit is a cut from NIS 60,000 to NIS 10,000 in the payment required to eliminate the waiting period for health insurance. For those seeking immediate renewal of their medical insurance, the payment can be made in six monthly installments, instead of twelve, before returning to Israel. The requirement of residence in Israel for at least 25 days each month during the waiting period has been left unchanged, except for those whose profession requires frequent overseas travel.
A VAT exemption on vehicle life-preserving safety accessories, such as seatbelts and children’s seats, was stipulated in a bill proposed by MK Wasil Taha (Balad). The bill passed its preliminary hearing by a vote of 29:10, despite objections from the Minister of Finance Benjamin Netanyahu and an expected loss of NIS 15 million in government revenue. Netanyahu managed to defeat a VAT exemption for life-saving drugs proposed by MK Meli Polishook-Bloch (Shinui).
Published by Globes [online] - www.globes.co.il - on June 5, 2005