Which of the following is a characteristic of social insurance?

A characteristic of social insurance is mandatory participation. Social insurance programs are designed to provide support and benefits to individuals in times of need, such as unemployment, disability, or retirement. By requiring mandatory participation, these programs ensure a broad base of contributors, which helps to stabilize the system and secure funding for benefits. This collective contribution model is essential for the sustainability of the program, as it allows for risk pooling among a larger group and helps mitigate the financial burden on any single participant.

Voluntary participation, on the other hand, is a characteristic of many private insurance products, where individuals choose whether or not to enroll. Similarly, profit-oriented systems are designed to generate income for shareholders, unlike social insurance programs, which focus on providing essential services rather than profit. Lastly, limited benefits based on demand does not accurately characterize social insurance, as these programs typically offer predetermined benefits that are not solely based on individual demand but are rather structured to meet societal needs.