The nature of annuity insurance Pension finance is just an empty word

Mondo Social Updated on 2024-03-01

The World Social Security Research Center of the Academy of Social Sciences has been very "active" recently: the "China Pension Development Report 2024" said that "65 years old may be the final result after the adjustment of delayed retirement"; Its director Zheng Bingwen also said, "The capital market is not good, and pension finance is just an empty word." Pension finance refers to the annuity insurance on the Insurance Law, and the commercial operation of personal pension is an empty word, but it is not only the capital market that is not good.

China's Pension Development Report 2024 says that "65 years old may be the final result after adjustment for delayed retirement". Since the World Social Security Research Center may be a research institution of the Chinese Academy of Social Sciences, or a research group, the "final result" may have produced the following corresponding effects:

For example, in 2025, male staff will delay their retirement by two months and female staff by four months. and so on until male and female staff retire at the same age.

The majority is worried. For example, male ordinary workers push for two months of delayed retirement in 2025, pay two more months of basic pension insurance premiums, and postpone the receipt of retirement benefits for two months, and female ordinary workers are also doing the same analogy. Peasant groups are also making analogies about when they will receive the new rural social endowment insurance benefits on a monthly basis.

The "final" basis for the final result is that the members who are working and paying the basic pension insurance contributions are equal to, or slightly more than the retirees, and the prices are constantly **, but ** are not subsidized. This retirement pension system does exist in the world, such as the annuity insurance system in the United States.

However, in Chinese mainland, when the basic endowment insurance ** is insufficient to pay, the county level or above ** will be subsidized. Not only that, ** also decided that from January 1, 2019, all kinds of social insurance premiums will be collected by the tax department in a unified manner. Accordingly, the report published by the World Social Security Research Center on social security should be based on China's legal system.

Annuity insurance, referred to as annuity, refers to survival insurance that pays a certain amount of money every year during the life of the insured. In the common law system, most countries or regions adopt an annuity insurance system. Since annuity insurance is a commercial insurance, the insurer pays a fixed amount of "pension" on a monthly basis, and most of the insured need to delay retirement to meet the needs of prices.

In China, annuity insurance is social insurance, such as occupational annuity and enterprise annuity, as far as occupational annuity is concerned, the current annuity practice is that all personnel in the system have a share. As far as enterprise annuities are concerned, the current enterprise annuities may be enjoyed by employees of state-owned enterprises and senior managers of private enterprises, while most ordinary employees may "quench their thirst". Theoretically, annuity insurance is called supplementary endowment insurance, but unlike basic pension, that is, annuity insurance is not adjusted due to factors such as prices.

In the practice of commercial insurance, occupational pension insurance has been opened, and the legal examination tutorial book has expounded the concept of occupational annuity in the "Theory of Insurance Contract", and most people, including scholars, call the "personal savings pension" in the social insurance theory as occupational annuity. In China, personal savings pension is not social insurance, but in addition to basic pension insurance, supplementary pension insurance voluntarily participate in the improved commercial pension insurance.

In many Western countries, the entire pension system is for personal savings and pension, and medical insurance is also commercial insurance, according to which the financial capital of these countries is extremely developed. Because pension and medical commercial insurance involve the vital interests of the people, the relevant countries have extremely strict regulations on the commercial insurance system related to people's livelihood. For example, if the "dividends" of an insurance investor are the same as those of an ordinary company, the result is that ** will still be liable.

With the implementation of the single-track system of retirement benefits, or the implementation of the national overall planning of retirement benefits, it can be affirmed that the basic pension pension can meet the daily life needs of ordinary individuals and families. At present, the opening of occupational (enterprise) annuity makes most people "yearn", such as "public examination fever", etc., and it is also certain that most people enjoy occupational annuity, and China may have moved from a well-off to a "rich" society. According to this, personal savings pension may only be the needs of specific groups, and financial pension is not a common pension method in China.

As far as Zheng Bingwen, director of the World Social Security Research Center of the Academy of Social Sciences, is concerned, from a legal point of view, the remarks include two aspects.

On the one hand, pension finance means that the investment risk of insurance companies is directly related to the interests of individual insurance, and financial pension may be an empty word. In order to control financial risks, the Insurance Law restricts the use of funds by insurance companies to the following forms:

One is bank deposits. The insurer will deposit the financial pension ** in the bank, and the financial pension is an empty word. Second, buying and selling bonds, **investment**shares, etc. are valuable**. At present, the best market conditions, financial pension is an empty word. The third is to invest in real estate. In the current reality of the real estate market, financial pension is an empty word.

On the other hand, the provisions of the Insurance Law shall first apply to the establishment of an insurance company, and if there are no provisions in the Insurance Law, the provisions of the Company Law and other administrative regulations shall apply. The application of the above two laws means that after the insurance company withdraws the deposit, the insurance company's provident fund, insurance reserves, insurance protection, etc., in accordance with the provisions of the Insurance Law, the investor can distribute dividends in accordance with the provisions of the Company Law, and the financial pension is just an empty word.

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