Social security and insurance is a complicated issue in Iran given the favorable and dominant paradigm of social insurance during the last century, which is based on the Bismarckian model (premium-oriented) and the participation of people and businesses with jobs or financial ability. That’s why regulation of labor relations and the conditions and requirements regarding work and employment have had a variety of effects on social insurance and Social Security Organization of Iran. Not very long ago, the insurance coverage was focused on jobs and employment and wage-earning. It was only after the approval of the Law on the Structure of the Comprehensive Welfare and Social Security System that lawmakers paid attention to the provision of social insurance coverage for other groups of people. Ali Heydari, social security expert, prefaced his article for Persian daily Ta’adol with this note. Below is a translation of the text.
Although Articles 3, 43 and 29 of the Iranian Constitution, have envisioned the provision of social insurance and social security for all people, the dominant approach in the social insurance is the insurance of workers and professions. You can say that the future of social security and social insurance depends to a great extent on the future of work and employment in the country.
If the paradigm of social insurance in Iran switches from premium-oriented (Bismarckian) to tax-oriented (Beveridge) or if a comprehensive, inclusive and multi-layered social security system is created, the social insurance may become more dependent on economic variables and redistribution policies and the consequences of the regulation of labor relations on insurers and especially the Social Security Organization of Iran may reduce.
Add new comment