Shaanxi Province, The New Rural Social Endowment Insurance System

With the speeding up of the aging of the population in the rural areas in Shaan Xi province, the old-age support has become an outstanding social problem. However, the present old-age insurance system in the rural areas has several shortcomings, for example, the low level of the insurance, small insurance coverage, lacking of ataxia, etc. Therefore, the insurance system does not provide the expected functionality of protection. The report of the 17th National People's Congress proposed to establish the new old-age insurance system in the rural areas. In order to improve the old-age support for the agricultural laborers, the government of Shaan Xi province performed complete investigation and analysis, and has decided to launch the pilot program for the new old-age insurance system in the city of Bao Ji, which is the combination of individual payment, collective subsidy and fiscal allowance. The pilot program has succeeded and favorably evaluated by the people and the relevant departments, and therefore provides a new and effective approach to solve the old-age support in rural areas.In this paper, we investigate the current situation of the new old-age insurance system implemented in Bao Ji, and compare it with the old insurance system. The innovations and the significance of the new old-age insurance system are analyzed. It is illustrated that the practice and promotion of the new old-age insurance system is significant to solve the aging problem, reduce the disparity between the urban and rural areas and relieve the social contradictions. Therefore, we should implement the new old-age insurance system at the province level based on the practice of the pilot program, to realize the complete transition from the old system to the new one. In this paper, the limitations in the new old-age insurance system are investigated. At first we should ensure the sufficient fund by utilizing multiple investments and the scientific administration. Second, we should also improve the legal system to provide good administrative laws and statutes for the operation of the new old-age insurance system. Third, we should quicken the construction of the supporting facilities, for example, the issue of the pension, the establishment of the information system, the connection with other social insurance systems, etc. These improvements presented in this paper can promote the good execution of the new old-age insurance, contribute to the complete old-age support for the peasants of Shaan Xi province, and help to ensure the stable, healthy, and rapid development of the society and economy of the rural areas in Shaan Xi province.