They propose to create a pension fund for newborns through the sale of the placenta

Congresswoman Silvia Montesa of Popular Action presented last Tuesday, February 14, a bill that proposes that the maternal placenta be declared the property of newborns.

The purpose of the legislative initiative is to guarantee that all people have access to a retirement pension, whose initial fund would be the amount obtained through the sale of the placenta.

“The purpose of this law is to guarantee the retirement pension of every citizen, having as seed capital the product of the sale of the placenta, which in turn, over time, will generate income in favor of a retirement pension”, points out Bill No. 1306/2021-CR.

Regarding the correct evaluation, examination, processing, conservation and declaration of suitability of the placenta, it indicates that “it will be in charge of specialist doctors and/or a department of the Ministry of Health authorized for that purpose.”

Parameters for the administration of the sale of the placenta

The initiative includes the following:

• The parents of the newborn are empowered to have the sale of the placenta and that the total amount of it be paid into a capitalizable individual account, seed capital, for pension purposes in the name of the newborn.
• The quotation and sale of the placenta, declared suitable by the Ministry of Health, will be in charge of the entity supervised by the State in coordination with the Ministry of Health.
• The administration of the capitalizable individual account will be in charge of an entity supervised by the State for that purpose.
• In no case, the parents or the same beneficiary, will be able to have the capitalizable individual account, seed capital, since its purpose is provisional and to grant a basic retirement pension regardless of the employment status that it holds.

Who will manage the funds for the newborn?

The entity responsible for the administration of the funds of the individual account will be supervised by the State, who must comply with the following It will comply with the following:

• Effectively and efficiently manage the funds of the capitalizable individual account of the newborn.
• Ensure the intangibility of the contribution made in favor of the newborn for social security purposes.
• Permanently inform the user of the status of their funds.