Federal Pension Act (BVG)
Das Federal Pension Act (BVG) is a German law that establishes the legal basis for providing for victims of war-related health damage and their surviving dependents. It was enacted in 1950 and has its roots in German social legislation following World War II. The Federal Pension Act is central to German Social Compensation Law and forms the cornerstone for various other pension laws.
Historical Development of the Federal Pension Act
The Federal Pension Act came into force on December 20, 1950 (BGBl. I p. 791) with the aim of ensuring comprehensive care for people who had suffered health damages due to the effects of war. Initially, the law applied to those disabled in World War II as well as their widows and orphans. Over the decades, the scope has been adapted, supplemented, and expanded several times to meet various social, legal, and political developments.
Scope of Application and Personal Entitlement
Categories of Entitled Persons
According to Section 1 BVG, the following groups of persons are fundamentally entitled to benefits:
- War victims (in particular soldiers and civilians who suffered health damages as a result of war events),
- Widows, widowers, orphans and parents of those killed,
- Late repatriates and their family members, insofar as they are included in the applicable regulations.
Eligibility Requirements
The following requirements must be met to be entitled to benefits under the Federal Pension Act:
- Existence of a health damage as a result of an event caused directly by military or war-like service obligations,
- Causality between the harmful event and the health damage,
- Validity of the event within the meaning of the BVG (e.g., deployment abroad by the Bundeswehr).
The specific extent of the consequences of the damage is determined by medical assessment (MdE – reduction in earning capacity).
Types of Benefits under the Federal Pension Act
The Federal Pension Act provides for a variety of benefits for eligible individuals. These can be differentiated by type of provision:
Medical and Health Treatment
Eligible persons receive necessary medical and health treatment in accordance with Section 10 BVG. These include:
- Medical and dental services,
- Medicines, dressings, medical aids and assistive devices,
- Hospital treatment,
- Cure and rehabilitation measures.
Pension Benefits
The central benefit is the pension (§§ 30 ff. BVG). It is granted depending on:
- Degree and consequences of damage (MdE),
- Marital status,
- Age,
The pension can be granted as a basic pension, compensatory pension and damage compensation pension. In addition, surviving dependents such as widows, widowers and orphans receive appropriate pension benefits.
Other Benefits
These include:
- Continued payment of holiday pay and Christmas bonuses,
- Funeral allowance (§ 36 BVG),
- Care allowances,
- Provision of household help and support for vocational rehabilitation.
Procedure for Granting Benefits
Application and Determination Procedure
Benefits under the Federal Pension Act are granted upon application. The competent authorities are the respective state welfare agencies. The procedure is governed by the Administrative Procedure Act and Book Ten of the Social Code, unless there are special provisions in the BVG.
The determination procedure provides, among other things, for a medical assessment to determine the link between the damage and the health impairment as well as the level of the MdE.
Legal Remedies and Legal Protection
Decisions by the welfare authorities can be reviewed by objection and legal action before the social courts. The system of legal protection corresponds to the general provisions of social court jurisdiction.
Relationship to Other Compensation Provisions
The Federal Pension Act is the principal law of Social Compensation Law. It forms the basis for:
- Crime Victims Compensation Act (OEG),
- Prisoners Assistance Act,
- Soldiers’ Pension Act,
- Civilian Service Act (compensation section).
In addition, the BVG is subordinate to general social law (e.g., SGB XII) if a principal compensation is not provided.
Legal Basis and Reform Efforts
Statutory Basis
The Federal Pension Act is regularly updated to meet modern social requirements. The statutory text and related annexes, including implementing regulations and administrative instructions, are essential for the interpretation of the law.
Reform of Social Compensation Law
In recent years, social compensation law in Germany has been fundamentally reformed by the Act to Regulate Social Compensation Law (SGB XIV, draft 2019, in force from 2024). In the future, central parts of the BVG will be transferred to the new SGB XIV, which provides for a more modern and systematic structuring of both benefits and procedures. However, the BVG will remain relevant for existing cases.
Significance and Practical Relevance
The Federal Pension Act is one of the most important laws in the German social compensation system. It serves as the basis for fulfilling the state’s duty of care toward individuals who have made significant sacrifices for the community. The BVG makes a substantial contribution to the social recognition and security of the affected groups and remains of great practical relevance, particularly for victims of war and military service and their dependents.
Literature and Further Sources
- Federal Ministry for Labour and Social Affairs: Federal Pension Act (BVG) – Statutory text and information
- SGB XIV – Act to Regulate Social Compensation Law
- Commentary on the Federal Pension Act (including Trenk-Hinterberger, Federal Pension Act)
- Federal Central Tax Office: Definition and information on pension benefits
- Social Compensation in Germany, Federal Ministry for Labour and Social Affairs
This article offers a comprehensive overview of the Federal Pension Act and its legal significance in the context of social compensation law. For specific inquiries, the current statutory text and the relevant administrative regulations should always be consulted.
Frequently Asked Questions
Who is entitled to benefits under the Federal Pension Act?
Persons entitled under the Federal Pension Act (BVG) are primarily those who have suffered health impairment due to injury in the line of military service or as a result of harmful effects as defined by law. This includes, in particular, Bundeswehr conscripts, civilian service personnel, and certain civil protection and disaster response personnel. Dependents, such as the survivors of deceased eligible persons, are also eligible if the legal requirements—especially the causal connection between the damage and death—are fulfilled. The rights and benefits under the BVG only apply if the damage is causally related to an event within the meaning of the law and the applicant submits the application within the prescribed deadlines. Foreign nationals and stateless persons may also be eligible if they fall under the precisely described groups in the law.
What benefits can be claimed under the Federal Pension Act?
The BVG provides a comprehensive system of benefits, especially medical and health treatment, pension benefits, support for participation in working life, and provision of aids. Entitled persons are eligible for medical treatment to restore health, orthopedic and other medical aids, and reimbursement of costs arising from the consequences of the damage, such as care allowances or travel costs. In case of permanent impairment, recipients receive a disability pension, the amount of which depends on the degree of the consequences. Surviving dependents are entitled to widows’ or widowers’ pensions, orphans’ pensions, as well as funeral and death benefits. There are also special benefits for extraordinary needs, such as housing or vehicle assistance.
How are the consequences of damage determined under the Federal Pension Act?
The determination of the consequences of damage is carried out through a formal recognition procedure, usually conducted by the pension offices or other competent authorities. It is generally based on a medical expert report that assesses the causal relationship between the harmful event and the diagnosed health damages. Decisive is the medical expert opinion, which determines the degree of consequences of damage (GdS) in increments of ten. The determination is made by an administrative act, against which the applicant may appeal. Ex officio, the procedure should be as comprehensive as possible; any doubts are to the detriment of the authority.
What deadlines apply for applying for benefits under the BVG?
As a matter of principle, the application for benefits must be submitted within a reasonable period; however, the law does not prescribe a rigid exclusion period. However, in individual cases, delays may lead to benefits only being granted from the time of application and not retroactively. In the case of survivors’ benefits, the law specifically provides for a period of twelve months from the death of the victim, although in certain cases, an application can still be submitted later. Missing the deadline may result in a claim for compensation if the delay was not the applicant’s fault and can be demonstrated. The precise deadlines are set out in the respective provisions of the BVG and must be reviewed on a case-by-case basis.
How is the degree of consequences of damage (GdS) determined and why is it important?
The degree of consequences of damage (GdS) is a central criterion for determining the level of benefits under the BVG. The GdS is determined through medical expert reports, usually with the involvement of specialist doctors or expert commissions. The assessment is based on the Disability Assessment Ordinance (VersMedV), which provides tables of typical health damages and their evaluation as general standards. What is decisive is the extent of permanent impairment to participation in social life or earning capacity. The GdS is set in increments of 10 from 10 to 100. The amount of the disability pension, care allowances, and other supplementary benefits is directly determined by the established GdS.
What legal remedies are available if an application under the BVG is rejected?
If an application under the BVG is wholly or partially rejected, the affected party has the right to file a formal objection. The objection against the negative decision must be lodged in writing or recorded at the authority within one month after notification. In the objection procedure, the authority re-examines the case, may conduct further investigations—especially medical—and issues an objection decision. Against this decision, the beneficiary may file a lawsuit with the competent social court. The judicial procedure is free of charge and does not require representation by a lawyer. Further instances are the State Social Court and the Federal Social Court, with the admissibility of appeals and revisions being subject to various requirements.
Who is responsible for implementing the Federal Pension Act?
The implementation of the BVG is the responsibility of the pension offices or state authorities, unless special federal responsibilities exist (for example, the Federal Pension Act for the former GDR or in the area of the Civilian Service Act). These authorities work closely with medical experts and use binding procedural and evaluation guidelines for processing benefits. In objection and court procedures, they participate in the clarification of facts and are obliged to include all relevant medical and social information in their decisions. Additionally, they are legally required to advise and inform applicants.
