Which of the following statements about the characteristics of social insurance programs is true?

Question

Quizplus · Accepted Answer

Social insurance programs typically link benefits to a worker's earnings history, reflecting the principle of individual equity but also ensuring that benefits are related to the amount paid into the system by or on behalf of the worker. This makes option A correct as it contrasts with the actual characteristic of social insurance programs, where benefits are closely related to a worker's earnings, not loosely. Options B, C, and D are incorrect because benefits are indeed based on individual equity (making B incorrect as it states the opposite), participation is generally mandatory (making C incorrect), and these programs do not need to be fully funded at all times (making D incorrect), as they can operate on a pay-as-you-go basis.

Which of the Following Statements About the Characteristics of Social