The review of related literature of the study explored and discussed the various insurance systems including labor insurance, labor pension, national pension, and commercial insurance. This chapter focuses on the structure, methodology design, scope, and possible limitations as well as questionnaire design.
3.1 Structure of the Research
The structure of the research is primarily according to the understanding and expectations as discussed in the review of related literature included in Taiwan’s labor insurance system such as labor insurance, labor pension, and national pension systems.
Moreover, it also studies the role played by commercial insurance, functional design, and future developments. Through this, the study hopes to explore and analyze how the general public feels about the labor insurance system and its worries about the old age security aspects of the system as well as the way to properly use commercial annuity insurance plans to make up for labor insurance-related inadequacies.
Furthermore, how will government policies carry out management and risk control of forced public pension payoff? In addition, under the principles of stability and security, the feasibility of these insurance systems being able to work with commercial insurance companies to shift the risk, allowing for safe growth of the public’s pension fund is what this study will explore. Figure 5 shows the relevant research structure.
Study of the development of commercial annuity insurance under the labor
insurance system
Role of commercial insurance
Function of commercial insurance
Study of future improvements or development focus
Awareness of the public regarding the current system
Study of inadequacies and focus for improvement
42
Figure 5 Research Structure of the Study
3.2 Research Method
With regards research methodology design, Pan Shu Man (2004) et all pointed out that research can primarily be divided into qualitative and quantitative. Qualitative research emphasizes a dynamic process, the implementation of the study and action in a social context, to understand its implications through in depth exploration.
Consequently, qualitative research explores the reality behind various social phenomena. To build a body of evidence through various forms of interaction in daily life, the researcher needs to look into the value and beliefs hidden in those phenomena during the research process. This is the basic tenet of qualitative research.
In addition, Babbie (2013) pointed out that qualitative and quantitative research methods have both pros and cons as well as limitations. Generally, quantitative research is based on large amount of data using statistical methods and variable control to verify the hypothesis presented by the researcher. The strength of this research method is that research conclusions have strong generalizations. However, it is very difficult to translate complex social phenomena into measurable indicators and establish the causal relationship between the variables. In comparison, in qualitative research, the researcher usually do field work, conduct interviews, and use the observational method to collate and gather information. This makes it possible for the researcher to interpret the finer aspects of social context including process, roles of the players, and other subjective interpretations, which provide a wealth of information and insight. Because qualitative research is usually linked to various social conditions, there are usually very little generalizations. Its strength lies in the attention given to historical context, process, and players, making it easier for the researcher to stay on top of social changes and distinguish the systems that bring
‧
國
立 政 治 大 學
‧
N a tio na
l C h engchi U ni ve rs it y
43
about social change (such as studying the causal mechanisms that come into play when behavioral changes occur after the government ratified the Convention on Human Rights). Both research methods have their own attributes, but they are not exclusive; one is not better than the other. Consequently, aside from the researcher’s interests, professional knowledge, as well as the accessibility of resources and information, the choice of research methodology is due to the research topic; it is deemed the most appropriate method to obtain the required data.
The study primarily makes use of the personal interview method of qualitative research, focusing on respondents from different economic sectors of society. These respondents included business owners or members of the high-income group, middle-income group like civil servants or salaried middle class, and members of the low-income group. The study looks into how these interview subjects perceive and understand labor insurance, labor pension, national pension, as well as their expectations. It also interviews the respondents on their reasons for investing in commercial insurance and what they think should be improved in it. In addition, the study also carries out analysis of related literature to reinforce the comprehensiveness and objectivity of relevant content, in hopes of providing relevant government agencies and industry members with important reference points.
‧
國
立 政 治 大 學
‧
N a tio na
l C h engchi U ni ve rs it y
44
3.3 Scope of the Study
The study primarily focuses on members of the general public, including people from various sectors of society and their understanding of various aspects of the country’s labor insurance system, such as labor insurance, labor pension, and national pension. It places emphasis on the issue of economic security in old age and how the public makes use of commercial insurance and other products to make up for the inadequacies in terms of coverage.
Because the researcher belongs to the financial planning and insurance sector, respondents were chosen based on the their familiarity with the researcher or their willingness to be interviewed. The study chose its interview subjects according to differences in income (i.e. business owner, doctor, middle class, blue collar, or retiree);
interviews were conducted face-to-face. The respondents’ answers were then analyzed based on the review of related literature. However, due to lack of time and shortage of funds, not all sectors were properly represented and interviewed, making it difficult for the interviews to serve as an objective inferential basis.
‧
國
立 政 治 大 學
‧
N a tio na
l C h engchi U ni ve rs it y
45
3.4 Basic Information of Respondents
The interview subjects that the study focuses on primarily includes a business owner, dentist, senior high school teacher, engineer, car maintenance center mechanic (blue collar), and retiree (from a corporate). These respondents were asked questions regarding their understanding of the current labor insurance system as well as the functions of relevant commercial insurance and other issues. Table 4 shows the basic information of the respondents.
Table 4 Basic Information of the Respondents
Item Target Interviewee Respondent Income bracket Time and place of interview
46
3.5 Design of Survey Questions
To be able to provide reference points for relevant industry members or government agencies, this study primarily focuses on people from sectors of society, conducting open-ended interviews regarding their understanding of labor insurance, labor pension, national pension, and commercial insurance as well as future developments of these insurance systems. Relevant interview questions are shown below.
A. Basic information of the respondents 1. What is your current job?
2. What is your current annual net income bracket? (in accordance with the tax bracket)
□<520,000; □520,000 ~1.17 million; □1.18~2.35 million; □ > 2.35 million
B. Study of labor insurance and labor pension
1. What do you know about the scope of labor insurance coverage including maternity, injury and illnesses, disability, old-age pension, and survivor’s annuity?
2. Old-age pension payments can be divided into old-age pension benefits, old-age lump sum payment, and one-time old age benefits. Do you know, more or less, what they cover? Do you feel that they are enough to meet the needs of the old-age economy?
3. What do you think the major differences between the old and new pension labor pension systems are? Do you think that the current pension system is adequate to meet the needs of the future old age economy?
4. What do you think the inadequacies of the current labor insurances and labor pension systems (especially in the coverage for old-age pension) are? In your opinion, how can they be improved or further developed? ?
C. Study of national pension system
1. Have you paid national pension? How much do you know about whom this type of pension covers?
2. Do you understand the old-age pension aspect of the national pension system?
‧
國
立 政 治 大 學
‧
N a tio na
l C h engchi U ni ve rs it y
47
Have you ever calculated approximately how much money you can receive monthly after retirement?
3. What do you think the deficiencies of the current national pension system are (especially in terms of payment for old-age pension) and what are the aspects that would need to be improved or further developed?
D. Study of Commercial insurance
1. Have you ever bought commercial annuity insurance? What were your primary considerations at that time (For example, was it due to feeling that the current labor insurance system or others are inadequate to meet the financial security needs in old age)?
2. What do you think the biggest difference between commercial annuity insurance and labor insurance, labor pension or national pension is? (In terms of premium payment, scope of coverage, etc.)
3. In your opinion, what aspects of commercial insurance would need to be improved or further developed? (Especially the ones
4. concerning economic security for old age)
‧
國
立 政 治 大 學
‧
N a tio na
l C h engchi U ni ve rs it y
48