UPSC Prelims Practice Questions — India’s Social Security Coverage
Q1. With reference to the Pradhan Mantri Shram Yogi Maan-dhan (PM-SYM) and the Pradhan Mantri Samajik Sahayata Yojana, consider the following statements: Which of the statements given above is/are correct?
- Entitlement to the pension under PM-SYM is built up through the worker's own periodic contributions before old age.
- Benefits under the Pradhan Mantri Samajik Sahayata Yojana depend on the beneficiary having contributed to the scheme earlier.
- Both schemes require the beneficiary to be in a formal employer–employee relationship.
- A. 1 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1 and 2 only
Q2. Consider the following statements: Which of the following is correct in respect of the above statements?
- In an economy where close to nine-tenths of workers are informal, contributory social insurance by itself cannot ensure universal social security coverage.
- Contributory schemes depend on regular contributions, which workers with unsteady incomes and no liable employer often cannot sustain.
- A. Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
- B. Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
- C. Statement-I is correct, but Statement-II is incorrect
- D. Statement-I is incorrect, but Statement-II is correct
Q3. With reference to the contribution required from aggregators under the Code on Social Security, 2020, consider the following statements: Which of the statements given above is/are correct?
- The contribution is calculated with reference to the aggregator's annual turnover, subject to a ceiling linked to its payouts to gig and platform workers.
- The contribution is a fixed amount per registered worker, independent of the size of the aggregator's business.
- The contributions are credited to a Social Security Fund from which welfare schemes for these workers are financed.
- A. 2 and 3 only
- B. 1 and 3 only
- C. 1, 2 and 3
- D. 1 only
Q4. Consider the following statements: Which of the following is correct in respect of the above statements?
- Under the Code on Social Security, 2020, aggregators are required to contribute towards social security for gig and platform workers.
- Under the Code on Social Security, 2020, aggregators are treated as the employers of the gig and platform workers who work through them.
- A. Both Statement-I and Statement-II are correct and Statement-II explains Statement-I
- B. Both Statement-I and Statement-II are correct, but Statement-II does not explain Statement-I
- C. Statement-I is correct, but Statement-II is incorrect
- D. Statement-I is incorrect, but Statement-II is correct
Q5. With reference to the schemes administered by the Employees' Provident Fund Organisation (EPFO), consider the following statements: Which of the statements given above are correct?
- The Employees' Provident Fund is a savings corpus from which partial withdrawals are permitted before retirement for specified needs.
- The Employees' Pension Scheme can pay a pension to eligible dependents of a member, not merely to the member.
- The Employees' Deposit Linked Insurance scheme requires the member to pay a separate insurance premium.
- The Employees' Deposit Linked Insurance scheme pays a benefit on the death of a member while in service.
- A. 1, 2, 3 and 4
- B. 1 and 2 only
- C. 1, 2 and 4 only
- D. 2, 3 and 4 only
Q6. Under the International Labour Organization (ILO) methodology used to estimate India's social protection coverage, a person is counted as covered only if they receive a benefit meeting certain criteria. Consider the following beneficiaries: Which of the beneficiaries given above would be counted as covered?
- A household receiving free foodgrains every month under a statutory food security law.
- An elderly person drawing a monthly cash pension under a statutory scheme that is in operation.
- A worker drawing a monthly cash allowance under an operational scheme created by executive order without legislation.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1, 2 and 3
- D. 2 only
Q7. Consider the following facts: India's social protection coverage was reported as 24.4% in 2021, 48.8% in 2024 and 64.3% in 2025. Only benefits that are legally backed, paid in cash and currently active are counted. The 2025 figure reflects only the first phase of a data-pooling exercise in which existing schemes are being verified. Which of the following inferences can be drawn from the above?
- The rise from 48.8% to 64.3% proves that tens of crores of people began receiving new benefits within that single year.
- A person whose only benefits are in-kind food or health services may be recorded as uncovered.
- The reported coverage could rise further even if no new scheme is launched.
- A. 2 and 3 only
- B. 2 only
- C. 1 only
- D. 1, 2 and 3