Why Benefits Are Stuck and What's Happening at Bituah Leumi

Large-scale hostilities have led to a sharp increase in the number of casualties, causing a crisis in the social benefits system. Tens of thousands of Israelis have been waiting for months for benefit approvals due to bureaucratic delays, overloaded medical committees, and staff shortages. The National Insurance Institute (Bituah Leumi) faces a liquidity deficit threat, while the rehabilitation department experiences budget constraints.

Large-scale hostilities have led to a sharp increase in the number of casualties, causing a crisis in Israel's social benefits system. Tens of thousands of citizens have been waiting for months for approval of disability and work injury benefits. The main problem is the overload of medical committees, which cannot issue a verdict without a full set of opinions from health funds. Technical glitches, lost documents, and staff shortages exacerbate the situation. The two-tier appeals system drags out the process: upon appeal, the case is reviewed anew by another panel, and its decision is final. The National Insurance Institute (Bituah Leumi) itself is moving toward a cash flow deficit, according to a State Comptroller report. The rehabilitation department is also experiencing a crisis due to tight budgets and dependence on the Ministry of Defense. Lawyers advise citizens to actively monitor the status of applications through their personal accounts and hotlines.

Why Benefits Are Stuck and What's Happening at Bituah Leumi