Study On The Feasibility Of Commercial Operation On Basic Pension For Urban And Rural Residents In Jilin Province

With the continuous upgrading of China’s economic structure and the new orderlyurbanization, the development of the progress in basic pension insurance for urban and ruralresidents is gradually accelerated. From the new rural social pension insurance systemimplemented in2009to the participation of the social pension system for urban residents in2001, the two systems basically achieve full coverage. in just a few years. In2014, the StateCouncil issued a document to integrate the two systems, establishing a unified national basicpension system for urban and rural residents all over the nation. This integration not onlymeans that the urban and rural residents can enjoy same pension services, but also marks thefirst step of China’s urban and rural social security system. Prior to the introduction of theintegrated systems, the majority of our country implement the new rural social pensioninsurance and social pension insurance for urban residents at the same time, collectivelyknown as Basic pension for urban and rural residents. Although the coverage of the systemcontinues to expand, but there are still many problems. Country-level city in Jilin provincedeveloped a corresponding the pilot scheme of urban and rural resident’s basic pensioninsurance system, which depends on the development status of in the region. Although thesystem is running smoothly, there are still many problems about the system design, fundoperation, pensions and the social security services. Commercial insurance, as part of thesocial security system, not only is complementary for social security, but also can make use oftheir management strengths to handle part of the social insurance. There are importantmeanings in the commercial operation of the basic pension for urban and rural residents.In this paper, I take the basic old-age insurance for urban and rural residents as the objectof the research, firstly describing the history and the status of the development of basicpension for urban and rural residents. Secondly, combined with data on the basis of fieldworkof basic pension for urban and rural residents in Jilin Province, I explore major issues of that.At last, on the basis of Keynes’s ideas on social welfare, insurance function theory, and socialsupport theory, as well as by drawing on the successful experience of foreign socialendowment insurance, I explore feasibility of the commercial insurance handling basicpension for urban and rural residents. And propose appropriate recommendations for thecommercial operation of basic pension for urban and rural residents in Jilin.