The Agricultural Social Insurance Institution (KRUS) administrates following Funds:

• Pension Fund (financed by contributions and state budget allocation (over 90% of revenue))
• Contributory Social Insurance Fund of Farmers (financed by contributions)
• Administrative Fund
• Prevention Fund.

The system of social insurance of farmers is financed by contributions payable by farmers and from the state budget allocation.

Contribution Fund is created from contributions into accident, health and maternity insurance and from other sources defined in the Fund Statutes.

The means from this Fund are designed for:

• financing work injury, health and maternity benefits,
• financing direct costs of functioning of the Council of Farmers,
• financing costs of managing this fund and realizing its obligations as a person of law,
• financing development of voluntary insurance of the insurance companies,
• deduction on the Prevention and Rehabilitation Fund and deduction on the Administrative Fund.

Pension Fund is created from:

• contributions into pension insurance,
• refundation from the means of the Social Insurance Fund for covering defined expenditures,
• supplementary donation from the national budget.

Means of this fund are designed for financing:

• pension benefits,
• pension from other social insurance, paid together with benefits of pension insurance and supplements,
• refundation of defined costs to the Social Insurance Fund, if it is provided by pension regulations.

According to the assumptions accepted together with the Law, the farmers cover about 10% of expenditures on benefits and the rest is covered by the national budget.

Fund of Prevention and Rehabilitation is created from deductions from Contribution Fund and also from the state allocations.

This fund is designed to conduct the KRUS activities on prevention of work injuries connected with agricultural work and agricultural professional diseases and to assist the insured and those who have a right to insurance benefits who are persistently unable to work on the farm, or threatened with such incapacity, with different forms of rehabilitation or with a possibility of qualifying for a new job.

Administrative Fund is designed for financing the costs of insurance service (except the costs covered by the means of Contribution Fund or Fund of Prevention and Rehabilitation).

Administrative Fund is created from:

• deductions from Contribution Fund
• deductions from Pension Fund

The Law on the farmers' social insurance provides two forms of covering by insurance: obligatorily or on demand (voluntarily). From the fact of being covered by the farmers' social insurance emerges the obligation to pay quarterly contribution, regardless the form of this coverage (obligatory, voluntary). Such obligation should be fulfilled by the owner of the farm who conducts the agricultural activity on his own account.

The following persons are covered obligatorily by the farmers' social insurance:

• a farmer who conducts the agricultural activity on his own account as the owner (independent or dependent) of the farm situated in the Republic of Poland and possessing above 1 hectare of arable land or a special section of agricultural production, according to the interpretation of tax regulations,
• a farmer's spouse who works constantly on the farm, in the special section of agricultural production or keeps the house which is directly connected with a farm,
• a member of the household, i.e. a person close to a farmer who
  • is at least 16 years old,
  • remains a farmer in the common household or lives on the farm or in the neighbourhood,
  • works constantly on the farm and is not employed by a farmer as a worker, if those persons are not covered by other social insurance and do not have right to old-age pension or disability pension from the farmers' social insurance or other social insurance.

The exception to this rule are those who conduct agricultural activity or work on the farm and at the same time conduct non-agricultural economic activity or cooperate in conducting such activity. According to the Law of 1 January 1997, these persons may choose the system by which they want to be covered, according to the Law.

Old-age and disability pension insurance

The contribution rate for old-age and disability pension insurance - is 10% of basic farmers pension (up to 30.09.2009 on the insurance premium was paid in quarterly time, corresponding to the amount of 30% of basic farmers pension from the last month of the previous quarter). The amount of basic pension is announced by the President of ZUS in the Official Journal of the Polish Republic, "Polish Monitor."

A farmer, whose farm covers an area of agricultural land exceeding 50 ha, it pays for pension insurance is also an additional monthly premium of:

• 12% of the basic pension - where the farm covers an area of agricultural land and 100 conversion hectares;
• 24% of the basic pension - where the farm covers an area of agricultural land exceeding 100 conversion hectares to 150 conversion hectares;
• 36% of the basic pension - where the farm covers an area of agricultural land exceeding 150 conversion hectares to 300 conversion hectares;
• 48% of the basic pension - where the farm covers an area of agricultural land exceeding 300 conversion hectares.

Accident, health and maternity insurance:

The person covered by this system is obliged to pay contribution established by the Council of Farmers, according to the Law on farmers' social insurance, for a period of a quarter or several following quarters. The amount of this contribution secures the liquid financing of debts from this insurance system.