Question

Explain the differences between social insurance and government assistance programs for the poor. From a Christian worldview, is there a difference? What factors should be considered from a Christian worldview when considering or evaluating social insurance and government assistance programs?

Answer 1

The social insurance programs covers the people who have stopped working due to disability,death or retirement whereas, the government assistance programs for the poor are meant for people who still work but don't earn enough so as to have a decent standard of living.

The payment for social insurance is made from the pooled money received from the current working individual's taxes so the benefits received are funded from the working population and when the current workers will retire,their insurance amount will be paid by the taxes of future workforce.

Whereas, the government assistance for the poor in purely derived from the need where people need not to work to receive the assistance example food stamps for people who don't have enough income to buy both food and other goods.Government provide the people who work but don't earn enough to live a comfortable life.

The differences can be highlighted on various factors such as:

Administrative: the people who receive social insurance usually pay taxes over their lifetime and these are funded from general tax receipts and revenue whereas,the government assistance are provided by grants from the state to needy people who may have never contributed as tax over their life time.

Recipients: government assistance is mainly for needy people and groups which is determined for eligibility by the state whereas social insurance benefits are for people who are old, retired and disabled.

The difference between insurance and assistance basically depends upon how urgently the person needs it. The people who don't earn enough or have become disabled have the right to claim for such programs as long as they fulfill the criteria and one should always apply for one if he feels the need or the situation happens which requires him to do so.