What is the significance of social security?

According to legislation, social insurance is a social security system funded by workers and their work units or communities and the state, which helps workers and their relatives to prevent income interruption, reduction and loss when they encounter risks such as old age, illness, work injury, maternity and unemployment, so as to ensure their basic living needs.

The concept of social insurance includes four meanings:

The membership of the social insurance system is determined by legislation, that is, every worker within the scope of legislation must participate in social insurance. Therefore, social insurance has certain legislative compulsion.

② Social insurance emphasizes individual contributions. This kind of donation is similar to the premium of commercial insurance in form.

However, the payment of social insurance is entirely based on self-help and mutual assistance. Workers who participate in the social insurance system obtain membership by paying fees, so there is a saying that "obligations are fulfilled first, then rights are enjoyed". At the same time, such rights and obligations are equal, that is, equal opportunities. When encountering various risks within the statutory scope, members participating in the social insurance system can get allowances to ensure their basic living needs.

(3) Social insurance emphasizes the co-financing of workers, work units and the state. It embodies the responsibility of the state and society to provide basic living security for workers. It is paid by the employee's work unit, which avoids the single source of social insurance funds and increases the insurance coefficient of the social insurance system itself. With the participation of the state, the social insurance system has a strong backing.

(4) The "guarantee" of social insurance has the meaning of active prevention, which plays a preventive role in the risks within the statutory scope, so that members participating in the social insurance system can gain a sense of psychological security, thus reflecting the role of the social security stability mechanism.

; To sum up, we can sum up six characteristics of social insurance: ① Mandatory organizational form: restricted by legislation, compulsory participation; (2) Self-help in the personal sense: fulfill obligations first, and then enjoy rights; ③ Mutual assistance in the collective sense: mutual assistance to solve urgent needs; (4) Diversified sources of funds: tripartite financing with reliable sources; ⑤ Preventive use of funds: risk prevention and strong sense of security; ⑥ Fund management reserve: It has a long history of accumulation.

Second, the content of social insurance

The goal of social insurance is to prevent risks. In this sense, risks in modern social and economic life determine the content of social insurance. In modern society, the economic risks that may interrupt, reduce or lose people's income include: old age, illness, disability, industrial injury or occupational disease, childbirth, death and unemployment. In view of the above seven risks, social insurance has set up seven items: endowment insurance, medical insurance, disability insurance, work injury insurance, maternity insurance and unemployment or bankruptcy insurance.