Insurance Schemes Offered to Iranian Knowledge-Based Firms

EghtesadOnline: The Knowledge-Based Companies and Institutions Center affiliated to the Office of the Vice Presidency and the Central Insurance company have jointly developed a program for providing knowledge-based startups with insurance.

News ID: ۷۴۲۹۰۷

22 July 2017

Until now startup firms and their usually low-paid employees had no access to insurance due to the current system in place offering insurance schemes only to registered companies and independent business owners.

Ultimately knowledge-based startup slipped through the cracks of the rigid rules related to workers’ insurance.

According to Mohammad Sahebkar, head of the center, the new offer will help startups sign up for personal insurance, the Persian-language Donya-e-Eqtesad newspaper reported.

“The Vice Presidency’s Office is behind the measure to help knowledge-based firms provide their employees with insurance options,” Sahebkar said.

The Rouhani administration has offered several incentives in recent years to boost the share of knowledge-based startups in the economy with the intention of creating jobs and boosting economic growth.

In 2015, startups were granted tax exemption as well as customs tariff waivers on imported goods.

Sahebkar further added that the center has held talks with Central Insurance to provide both social and private (merchant) insurance.

Besides offering coverage to startup employees, the vice presidency and the insurance company will also assist with tax exemptions.

There also are plans to offer help to workshops and training centers of knowledge-based companies have been the topic of discussions.”

The official also said the center had reached an agreement with AyandehSaz Pension Fund on contributing retirement insurance to the employees of such firms.

According to the World Intellectual Property Organization on global innovation index, Iran’s innovation index has risen to 78 in 2016 from the previous year’s 120.

There are more than 2,700 knowledge-based businesses active in different fields, namely agri-tech, molecular technology, materials and equipment and the environment.  The companies are seen as an important source of income, employment, and growth.