Sole shareholder managing a limited liability company is covered by social insurance for self-employed business activities.
Poland (PL)
Legislator summary
AI generatedThe Supreme Court quashed the lower court's decision and remanded the case for a new ruling on social insurance obligations. The Social Insurance Institution had denied coverage to a sole shareholder who managed his company under a management contract, arguing he was not a self-employed person. The Court held that a sole shareholder performing paid management duties falls under the social insurance system for self-employed business activities, rendering the management contract unnecessary for this purpose. Consequently, the Court ordered the Social Insurance Institution to immediately determine the correct insurance system rather than forcing the applicant to search through multiple legal bases.
Legislator headnote
AI generatedArt. 1 ust. 1, 2 ustawy z dnia 18 grudnia 1976 r. o ubezpieczeniach społecznych; Art. 1 ust. 1, 2 ustawy z dnia 25 listopada 1986 r. o organizacji i finansowaniu ubezpieczeń społecznych; A sole shareholder performing paid management duties for a limited liability company is covered by social insurance for self-employed business activities, and a concurrent management contract does not alter this status.