Glossary
Pension Insurance
State schemes for the accumulation, management, and disbursement of funds for pension payments. There are different models of pension provision – based on pay-as-you-go schemes, capital accumulation schemes, or a combination of both, with accumulated funds managed and disbursed in different ways.
Pension Insurance Company
A licensed joint-stock company that, under the Social Insurance Code, manages pension funds and provides supplementary pension insurance. It collects and manages contributions, invests the accumulated funds according to regulatory requirements, and pays pensions or other insurance benefits to insured individuals. Its activities are supervised by the Financial Supervision Commission and carried out in accordance with principles protecting the interests of the insured.
Pension Insurance Contract
An agreement between an insured person (or an insurer) and a pension insurance company that regulates the conditions for participation in supplementary pension insurance. It specifies the rights and obligations of the parties, the amount and method of payment of insurance contributions, the rules for accumulation, management, and disbursement of funds, as well as the conditions for receiving pensions or other insurance benefits. The insurance contract serves as the basis for opening an individual account and guarantees the insured person access to the accumulated funds upon the occurrence of the circumstances stipulated by law or by the contract.
Pension System
A combination of different forms of social security and management principles aimed at ensuring stable and adequate pension income in the face of economic and demographic challenges, such as population aging and changes in the workforce.
Perceived Customer Value
The subjective benefit a customer derives from a product or service, based on the trade-off between the satisfaction received (quality, usefulness, convenience, experience) and the cost, time, effort, and risk invested. It reflects the value an organization delivers to its target audience by meeting needs, solving problems, or creating a desired experience.
Personal Accident Insurance
An insurance product that provides protection against unexpected and unintended events leading to bodily injury, permanent disability, or death of the insured as a result of an accident. Such policies may also cover medical expenses, temporary incapacity for work, or other financial consequences arising from the accident. They can be concluded individually or collectively, for a fixed period or on a continuous basis, and may apply both in personal life and in connection with professional or sporting activities.
Personal Budget - glossary for children
A plan for managing personal money that shows all income and expenses and helps save for set goals.
Personal Guarantee
An obligation undertaken by an individual or legal entity to be responsible for fulfilling a debtor’s obligations if the debtor fails to do so. The guarantor assumes liability with their own assets, usually through a suretyship or guarantee agreement. A personal guarantee provides the creditor with additional assurance that the amounts due under the contract will be paid.
Personal Identification Code (PIC)
A special code issued by various state institutions such as the National Social Security Institute, the National Revenue Agency, and the National Health Insurance Fund, which allows access to some of their electronic services. Access to e-services and inquiries is carried out by entering the PIC along with the Personal Identification Number (PIN)/ Foreigner’s Personal Number (FPN)/Personal Number (PN)). Each PIC is valid only for the institution that issued it. Some services may also require an electronic signature or access through e-identification.
Personal Income Tax
A state direct tax imposed on the taxable income earned by individuals (natural persons) during the calendar year. It is regulated by the Personal Income Tax Act. The tax is paid by Bulgarian citizens regardless of whether they receive income domestically or abroad, as well as by foreign citizens who receive income from sources within Bulgaria. Taxable income includes remuneration from employment, income from non-employment relationships, rent, lease, sale of property, dividends, interest, royalties, and other sources. Individuals may reduce their tax liability through various allowances and deductions provided by the Personal Income Tax Act.
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