Large Families

About 1.3 million families receive child benefits for approximately 3.2 million children, with the state depositing 58 shekels per month into each child's savings fund. While 28% of children in Israel live below the poverty line, studies indicate that reducing benefits has encouraged labor market participation while having a limited impact on birth rates.

The Tel Aviv Labor Court has approved a class action lawsuit against the four HMOs, alleging improper preference for large families. The court determined that there is a reasonable chance the lawsuit will be decided in favor of the group members. The HMOs may be required to cancel the discounted family rate.