in practice, what is the difference between commercial endowment insurance and social security? What are the differences between earnings and trends? Let's take a look at it.
1、 Overview of commercial endowment insurance and social security
Commercial endowment insurance is a kind of commercial insurance, which refers to the payment of pension by the insurance company according to the contract when the insured retires or the insurance period expires. The social endowment insurance is a social security insurance system established to solve the problem that the laborer reaches the national stipulation to lift the age limit of the laborer or withdraws from the post because of losing the ability to work.
2、 What is the difference between commercial endowment insurance and social security
1. Different in nature
Social endowment insurance is enforced by national legislation and belongs to government behavior. Commercial insurance belongs to the nature of enterprises and is a kind of commercial behavior.
2. Different purposes
Social endowment insurance is not for the purpose of profit, its starting point is to ensure the basic life of workers in their old age, maintain social stability, and promote economic development, while the fundamental purpose of commercial insurance is to obtain profits, under this premise, give the insured certain economic compensation.
3. Different sources of funds
Social insurance is shared by the state, employers and individuals, while commercial insurance is entirely borne by the insured.
4. Different responsibilities
Social insurance is a basic right enjoyed by citizens. The government bears the ultimate responsibility for social insurance, while commercial insurance is restricted by market competition mechanism. The government mainly supervises commercial insurance according to law.
3、 The difference between commercial endowment insurance and social security
1. Commercial insurance is purchased voluntarily by individuals, while social security is legal insurance, and the government forces employers to purchase for employees;
2. The premium of commercial insurance is entirely paid by individuals, and the social insurance premium is jointly borne by the company, individual and local finance;
3. The insurable interest is determined in the form of contract. The applicant can appoint the beneficiary within a certain range. The social security follows the principle of social equity. The government makes overall planning and the beneficiary is legal.
The above is the relevant content of the difference between commercial endowment insurance and social security sorted out for you. Generally speaking, both commercial endowment insurance and social endowment insurance can provide security for the elderly in their old age, but they can play a complementary role when they are purchased together. Here, I suggest that we should take commercial endowment insurance as a supplement to social endowment insurance, and buy them together to make the insurance more comprehensive.