• Radmila Pidlypna
  • Valeriia Smochko
  • Dmytro Lukach


social insurance, world experience, social security


The article substantiates the role and importance of mandatory social insurance in developed countries. Special attention has been paid to the importance of active orientation towards the social insurance policy. The world experience of implementing social protection of the population and regulation of social development has been analyzed. The article identifies the priority areas of social policy reform in Ukraine in the context of adaptation to the standards of highly developed countries. Common and distinctive features with the system of mandatory social insurance have been identified and the possibility of implementing positive experience during the reformation has been substantiated. All this actualizes the issue of studying the world experience of raising the living standards of the population of Ukraine. The main problems that may arise in the process of implementing the global experience of universally mandatory social insurance to domestic realities and will stand in the way of achieving its main goals have been analyzed. Key institutional features of national social insurance systems, conceptual components of the formation of a civilized institute of social protection based on advanced achievements have been studied. The financing mechanism of social protection and social security has been substantiated. The features of the financing of social services at the local level that is generally accepted for all developed foreign countries is the division of local budgets into two functional types of local budgets.
These are the local current (administrative) budget and local development budgets (investment funds). Each of these types has its own expenses and revenues of the budget. The experience of the development of social relations shows that social security is an objective and necessary phenomenon. The objectivity of social insurance is determined by the risky nature of the market economy and the need to establish financial guarantees to provide for persons who, for certain reasons, do not have the opportunity to participate in the process of material production and receive payment for their work. The analysis of world experience and its comparison with state realities made it possible to make a number of proposals for improving the state practice of social insurance. An important place is the possibility of using foreign experience of social protection in the national economy. It has been proven that the integration processes in Ukraine led to the actualization of the issue of improvement of domestic legislation and adaptation to European legislation, in particular social legislation.