SOCIAL INSURANCE, one of three distinct branches of insurance in gen eral, the other two of which are cornfner cial insurance and mutual insurance. Both of these are voluntary in nature, and protect those who have the initiative to take proper precautions against the misfortunes which insurance covers. So cial insurance is that branch which en deavors to protect that weaker and more thriftless element of the population which does not, or cannot, protect itself, usually the Nwer paid classes of the workers. As defined by a pamphlet of the United States Government, it is a "method of or ganized relief by which wage-earners, or persons similarly situated, and their de pendents and survivors, become entitled to specific pecuniary or other benefits, on the occurrence of certain emergencies." The medium is generally through govern ment institutions, in combination with employers and the beneficiaries them selves. In most European countries the government contributes one-third of the insurance fund, the employees, or bene ficiaries, and the employers, contributing the rest. These contributions are some times voluntary, in which case the con tribution of the government is in the na ture of a subsidy. Where they are com
pulsory the insurance is in the nature of workingmen's compensation law. So cial insurance was first established in Germany, by Bismarck, who was much influenced by the Socialist teachings of Ferdinand Lasalle. In the United States workingmen's compensation laws were not passed until about ten years ago, but the movement in their favor has since become very strong. Social insurance usually is divided into the following branches: accident, occupational diseases, non-industrial accidents, general illness, maternity, employers' liability, in valid, old age, funeral, widows and or phans, and unemployment. These heads, it will be seen, cover almost all the evils to which the mass of the people are sub ject, and it is believed by many statesmen and economists that social insurance, when carried out to its fullest limits, may entirely abolish all those social evils con sequent on our present industrial system. The first national convention on Social Insurance was held in Chicago, in June, 1913, and the second, under the auspices of the United States Government, was held in December, 1916.