What is endowment insurance?

Hello: The full name of endowment insurance is basic social endowment insurance, which is China's social insurance system and one of the most important types of five insurances. For everyone, when they pay old-age insurance when they are young and reach the legal retirement age, they can get some economic compensation, material help and services from the government and society, and have a stable and reliable source of income to ensure the basic needs in their later years.

Old-age insurance will take effect automatically after the elderly within the legal scope "completely" or "basically" withdraw from social labor life. The so-called "complete" is characterized by the separation of workers from the means of production; The so-called "basic" means that participation in production activities has not become the main content of social life. The legal age limit is a practical measure. At the same time, the insured can only meet the following two conditions: (1) meeting the retirement conditions stipulated by the state and handling relevant procedures; According to the provisions of the basic old-age insurance premium accumulated payment period of 15, approved by the administrative department of labor and social security, can receive a monthly basic pension and funeral subsidies. The basic old-age insurance premium is paid jointly by the enterprise and the insured according to different payment ratios. Take Beijing's pension insurance payment ratio as an example: enterprises pay 16% of the total payment base every month, and employees pay 8% of their wages. The basic old-age insurance (also known as the national basic old-age insurance) is a social insurance system established by the state and society according to certain laws and regulations to solve the problem that workers terminate their labor obligations after reaching the national working age limit or quit their basic life because of old age. The basic old-age insurance is based on the principle of ensuring the basic livelihood of retirees. It is mandatory, mutually beneficial and social. Its compulsion is reflected in the legislation and law enforcement of the country, and both enterprises and individuals must participate and must not violate it; Mutual assistance is reflected in the source of endowment insurance expenses, which are generally shared by the state, enterprises and individuals, and are used and paid uniformly, so that employees of enterprises can get living security and realize extensive social mutual assistance; Sociality is reflected in the great influence of old-age insurance, the large number of people who enjoy it for a long time and the huge cost.

Endowment insurance is based on the living security of the elderly, and an insurance fund is established through redistribution or savings to pay the living expenses of the elderly.

This law is based on Article 16 of the Social Insurance Law of People's Republic of China (PRC).

Individuals who participate in the basic old-age insurance will receive the basic old-age pension on a monthly basis if they have paid a total of fifteen years when they reach the statutory retirement age. Individuals who participate in the basic old-age insurance and pay less than fifteen years when they reach the statutory retirement age can pay for fifteen years and receive the basic pension on a monthly basis; Can also be transferred to the new rural social endowment insurance or urban residents' social endowment insurance, enjoy the corresponding pension insurance benefits in accordance with the provisions of the State Council.

Seventeenth individuals who participate in the basic old-age insurance, due to illness or non-work-related death, their survivors can receive funeral grants and pensions; Persons who have completely lost their ability to work due to illness or non-work-related disability before reaching the statutory retirement age can receive disability allowance. The required funds are paid from the basic old-age insurance fund.

Article 18 The state establishes a normal adjustment mechanism for basic pensions. According to the average wage increase and price increase of employees, the basic old-age insurance treatment level will be improved in a timely manner.