Vol. 570 No. 2
554 Mr. Hogan asked the Minister for Social and Family Affairs the reason single persons pay widows and orphans contributions who will never receive benefit from same; if she has plans to change this situation; and if she will make a statement on the matter. [18295/03]
The social insurance system plays a key role in the provision of social protection in Irish society. People, when they are economically active, make contributions to the social insurance fund according to their ability to pay and depending on the range of benefits and pensions for which they are covered. These payments fund the pensions of an earlier generation of contributors and also pay benefits to persons who are not working by reason of contingencies such as unemployment or illness. Contributors, accordingly, build up entitlements to various pensions and benefits which are paid to them as of right, without having to undergo a means test.
The social insurance concept is underpinned by the concept of social solidarity and the social insurance system is founded on a long-term commitment by employers, employees, the self-employed and the State. It plays a major role in income redistribution and underpins solidarity not only between generations but also between those at work and those currently not at work. This means that the contributions of workers are pooled for the benefit of all contributors if and when various contingencies arise. There is no direct proportional link between the amount of contributions paid by individual insured contributors and the potential vulnerability of contributors to individual risks such as occupational accidents, illness or longevity. Contributors generally, in a practical expression of social solidarity, support those who are more vulnerable or insecure to the advantage of society as a whole.
In the case raised by the Deputy, a single person could marry and later become a widow or widower at any stage in their life. I do not consider it appropriate to exempt from part of their contribution any group of persons, who are currently covered by the system and who are liable to make social insurance contributions. I consider that such a move would be a retrograde step which would serve to weaken the social insurance system as a whole and I have no plans to change the situation.
