An integrated national endowment insurance system for urban and rural residents
Original, GPIG, 04-27-2018
In February 2014, the State Council published a document, where an integrated national endowment insurance system for urban and rural residents would be established, combining the new rural social endowment insurance with the urban social endowment insurance system.
The new rural social endowment insurance and the urban social endowment insurance system went into effect in 2009 and 2011 respectively. By 2012, the two systems had almost covered the whole nation.
By the end of 2013, 498 million people nationwide had been enrolled in the endowment insurance system and 138 million people received their benefits. Plus employee's endowment insurance, a total of 820 million people were covered by China's endowment insurance system.
China's medical insurance system started with the free medicare system and labor protection medicare system established in the 1950s, known as the employee medical insurance. It is an important part of social security system and one of the major social insurances. Medical insurance is mandatory, based on the principle of mutual-help and society-orientated. Therefore, the medical insurance system is legislated and enforced by the state; employers and employees share the insurance fees according to a fund system; the premiums are paid by medial insurance institutions, to cover the medical risks of employees. The current medical insurance system in China is based on "The Decision of the State Council to Set up a Basic Medical Insurance System for Staff Members and Workers in Cities and Towns" issued in 1998.
With the growing economy in China and more attention from the government, the goal of establishing a medical insurance system covering all urban and rural residents has already been set. The State Council decided to start a basic medical insurance pilot project in cities and towns in an effort to explore and improve the medical insurance system, and gradually establish a basic medical insurance system that mainly covers major illnesses for urban residents.
Since the pilot program focusing on basic medical insurance for urban residents was carried out in 2007, it was applied to the whole nation in 2010 and generated impressive results. While the coverage expanded, the number of people covered increased steadily. By the end of 2013, over 570 million people were covered by the basic medical insurance for urban residents, an increase of 34.31 million people when compared to the previous year.
As an important part of the social security system, work injury insurance is a social security system that provides material aid, such as medical care, life support, economic compensation, medical rehabilitation and reemployment to employees injured during work or patients of occupational diseases.
By the end of 2013, work injury insurance covered over 199 million people nationwide, an increase of 9 million people compared with 2012, out of this 72 million were migrant workers.
Maternity insurance is a social security system legislated by the state, providing female employees who are pregnant with medical care, maternity subsidies and maternity leave.
Maternity insurance
China's maternity insurance welfare includes maternity welfare and maternity medical welfare. Since November 20, 2012, "Maternity Insurance (Draft)" issued by the Ministry of Human Resources and Social Security started to solicit public opinions. The Draft made it clear that maternity insurance will cover all household registers, and working units should pay maternity fees for female employees if they don’t buy maternity insurances for female employees.
By the end of 2013, more than 163 million people were covered by maternity insurance nationwide, an increase of 9 million people compared with 2012 figures.
Aid outside the "four security lines" in impoverished urban communities
When talking about eliminating poverty among urban residents, people always think of the "four security lines": minimum wage, basic subsistence for laid-off workers of SOEs, unemployment insurance and a minimum living allowance for the urban poor.
"Government policies have strict standards, for example there are limitations that prevent some impoverished people who don't meet the standard of low-income from accessing social welfare programs even though they need help", says Sun Shouting, who also mentioned that although some low-income families benefited from these projects, prohibitively expensive medical fees were still an unbearable burden on the urban poor. According to Sun, over 110 people from 56 low-income families in Maizidian received about 500 yuan a month as subsidies in 2011. Other government aid include major disease aid, unemployment relief payment, and "irregular short term" aid from Women's Foundation, Labor Unions and the Communist Youth League.
There are five innovative methods that can be applied to urban poverty alleviation: improve living conditions, build up the health care system, be more determined to eliminate poverty, self-development and improve working skills. These measures are comprehensively carried out at Maizidian community in recent years.
At the beginning of the "five innovative methods for poverty alleviation" program, providing monetary assistance was the main approach. "Our sub-district committees would make agreements with enterprises who are willing to donate no less than 3,000 yuan each month", said Sun Shouying. Most enterprises gave money monthly, some provided the impoverished people with material aid or gave extra subsidies to students from low-income families. Of the "five innovative methods", improving the health conditions and working skills were the most difficult to realize. Furthermore, the impoverished people tended to believe that they were lonely, mistreated and their lives were meaningless; almost half of them said that they worried about their lives. As a matter of fact, people from most low-income families didn't have decent outfits for social engagements and activities, one fourth of them only had one pair of shoes. Lacking the basic conditions for socializing, "the direct result might be marginalization, or even rejection in the society. They cannot make any contribution to society, nor can they get any benefit or support from the society."
With the deepening of innovative poverty alleviation work at Maizidian, hopefully the poor residents will soon get back on their own feet again.
Original, GPIG, 04-27-2018
In February 2014, the State Council published a document, where an integrated national endowment insurance system for urban and rural residents would be established, combining the new rural social endowment insurance with the urban social endowment insurance system.
The new rural social endowment insurance and the urban social endowment insurance system went into effect in 2009 and 2011 respectively. By 2012, the two systems had almost covered the whole nation.
By the end of 2013, 498 million people nationwide had been enrolled in the endowment insurance system and 138 million people received their benefits. Plus employee's endowment insurance, a total of 820 million people were covered by China's endowment insurance system.
China's medical insurance system started with the free medicare system and labor protection medicare system established in the 1950s, known as the employee medical insurance. It is an important part of social security system and one of the major social insurances. Medical insurance is mandatory, based on the principle of mutual-help and society-orientated. Therefore, the medical insurance system is legislated and enforced by the state; employers and employees share the insurance fees according to a fund system; the premiums are paid by medial insurance institutions, to cover the medical risks of employees. The current medical insurance system in China is based on "The Decision of the State Council to Set up a Basic Medical Insurance System for Staff Members and Workers in Cities and Towns" issued in 1998.
With the growing economy in China and more attention from the government, the goal of establishing a medical insurance system covering all urban and rural residents has already been set. The State Council decided to start a basic medical insurance pilot project in cities and towns in an effort to explore and improve the medical insurance system, and gradually establish a basic medical insurance system that mainly covers major illnesses for urban residents.
Since the pilot program focusing on basic medical insurance for urban residents was carried out in 2007, it was applied to the whole nation in 2010 and generated impressive results. While the coverage expanded, the number of people covered increased steadily. By the end of 2013, over 570 million people were covered by the basic medical insurance for urban residents, an increase of 34.31 million people when compared to the previous year.
As an important part of the social security system, work injury insurance is a social security system that provides material aid, such as medical care, life support, economic compensation, medical rehabilitation and reemployment to employees injured during work or patients of occupational diseases.
By the end of 2013, work injury insurance covered over 199 million people nationwide, an increase of 9 million people compared with 2012, out of this 72 million were migrant workers.
Maternity insurance is a social security system legislated by the state, providing female employees who are pregnant with medical care, maternity subsidies and maternity leave.
Maternity insurance
China's maternity insurance welfare includes maternity welfare and maternity medical welfare. Since November 20, 2012, "Maternity Insurance (Draft)" issued by the Ministry of Human Resources and Social Security started to solicit public opinions. The Draft made it clear that maternity insurance will cover all household registers, and working units should pay maternity fees for female employees if they don’t buy maternity insurances for female employees.
By the end of 2013, more than 163 million people were covered by maternity insurance nationwide, an increase of 9 million people compared with 2012 figures.
Aid outside the "four security lines" in impoverished urban communities
When talking about eliminating poverty among urban residents, people always think of the "four security lines": minimum wage, basic subsistence for laid-off workers of SOEs, unemployment insurance and a minimum living allowance for the urban poor.
"Government policies have strict standards, for example there are limitations that prevent some impoverished people who don't meet the standard of low-income from accessing social welfare programs even though they need help", says Sun Shouting, who also mentioned that although some low-income families benefited from these projects, prohibitively expensive medical fees were still an unbearable burden on the urban poor. According to Sun, over 110 people from 56 low-income families in Maizidian received about 500 yuan a month as subsidies in 2011. Other government aid include major disease aid, unemployment relief payment, and "irregular short term" aid from Women's Foundation, Labor Unions and the Communist Youth League.
There are five innovative methods that can be applied to urban poverty alleviation: improve living conditions, build up the health care system, be more determined to eliminate poverty, self-development and improve working skills. These measures are comprehensively carried out at Maizidian community in recent years.
At the beginning of the "five innovative methods for poverty alleviation" program, providing monetary assistance was the main approach. "Our sub-district committees would make agreements with enterprises who are willing to donate no less than 3,000 yuan each month", said Sun Shouying. Most enterprises gave money monthly, some provided the impoverished people with material aid or gave extra subsidies to students from low-income families. Of the "five innovative methods", improving the health conditions and working skills were the most difficult to realize. Furthermore, the impoverished people tended to believe that they were lonely, mistreated and their lives were meaningless; almost half of them said that they worried about their lives. As a matter of fact, people from most low-income families didn't have decent outfits for social engagements and activities, one fourth of them only had one pair of shoes. Lacking the basic conditions for socializing, "the direct result might be marginalization, or even rejection in the society. They cannot make any contribution to society, nor can they get any benefit or support from the society."
With the deepening of innovative poverty alleviation work at Maizidian, hopefully the poor residents will soon get back on their own feet again.
