Latvia's disability assessment system deemed outdated

More than 224,000 people with disabilities live in Latvia, and their number continues to grow. The state spends roughly one billion euros a year on supporting them. Both the State Audit Office, which carried out an audit, and the Ministry of Welfare acknowledge that the current system for granting disability status is outdated and should move toward more targeted, individual assessment. The topic gained attention after information emerged this week that disability support could be one source of savings in the state budget.

The problem

The State Audit Office found that disability status does not always achieve its purpose. It often serves mainly to compensate for lost income rather than to reduce barriers caused by functional limitations. Meanwhile, those who truly need support often do not receive enough to cover all their needs. The system does not identify what support each person requires.

For adults, the disability group is determined by the State Commission of Health and Work Ability Expert Physicians. Most people are in the third group (almost 95,000), followed by the second (just under 94,000). One person can have several groups, so the total exceeds the number of unique individuals. Possible reasons for the rise include poor access to healthcare and an ageing population.

Where the money goes

About half of the billion euros is direct financial support, and the other half is services and benefits such as assistants, care, tax relief and public transport. Last year, 304 million euros were paid in disability pensions and 56.3 million euros in the social security benefit, which averages 232 euros a month. The minimum pension is 200–400 euros, and 43,000 recipients receive up to 300 euros.

The pilot project

Following the audit's recommendations, the Ministry of Welfare has launched a pilot with five targeted protocols: vision, hearing, movement, mental disorders and chronic conditions. A return to in-person examinations is also planned. Edvīns Vasaraudzis, head of the commission's Riga branch, said the focus should be the international classification of functioning rather than diagnoses. Last year only 7% of applications for disability assessment were not approved.

Ministry representative Aiga Lukašenoka said it is too early to talk about savings, though a more precise assessment could change status decisions in some cases. State Audit Office council member Maija Āboliņa said redistributing funds would be a political decision. Latvia's work capacity loss threshold is relatively low, starting at 25%, and the reform plans to drop percentage thresholds.