What's the difference between social security and commercial insurance?

The difference between social insurance and commercial insurance

1, with different purposes.

Social insurance is determined according to national policies. For enterprises, the state forces enterprises to apply for social insurance for employees in order to provide employees with a guarantee. To put it bluntly, employees can have the most basic protection, including financial subsidies for a period of time when they are laid off, and women can also get some allowances when they have children.

Commercial insurance is the insurance that people voluntarily take out with insurance companies. If they want to be protected by the insurance company, they need to pay the insurance premium on time. Insurance companies are not bound by national policies and make their own "rules". It is profit-oriented, but it is not mandatory. If they are willing to buy insurance, they will buy insurance. If they don't want to buy insurance, they won't vote.

2, the scope of protection is different

Social insurance, which mainly solves most of the living security of workers and gives some basic security, has a wide range of protection; Commercial insurance only provides protection for the content required by the insured, and the content without insurance will not provide protection.

3. Different sources of premium

Social insurance premiums are generally shared by individual employees and enterprises. Of course, if you pay social insurance in the name of an individual, the premium will be borne by yourself. However, the social insurance cost is determined according to the country, and there are grades. As for commercial insurance, you have to pay the premium yourself, you have to bear as much as you buy, and the premium is up to you. Pay more premiums if you have the ability, and pay less if you don't, depending on your economic conditions.

Regarding the role of social security, if some friends don't understand it, you can look here: "What's the use of the latest analysis of social security? 》

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