Prévoyance

Prévoyance is a French term referring to the set of measures and products that provide financial protection against the consequences of life risks such as illness, disability, death, or old age. It covers both public social protections and private insurance arrangements intended to anticipate and mitigate financial hardship resulting from unforeseen events. The central idea is risk transfer: individuals or households transfer the financial impact of a risk to an insurer or to a provident institution in exchange for a regular payment or premium.

Typical prévoyance products include life insurance (death benefit and sometimes guaranteed education or care provisions), disability income insurance that replaces a portion of earnings during incapacity, critical illness coverage, and long-term care cover. Many plans also address unemployment or retirement by providing defined benefits or pensions. Prévoyance can be arranged as individual policies or through collective or group contracts offered by employers or professional associations.

In France and other Francophone jurisdictions, institutions de prévoyance, insurance companies, and mutuals administer these plans. Employer-sponsored provisions are common and may be partly funded by the employer, the employee, or both. Coverage terms, benefit amounts, and eligibility vary by contract and by national regulation.

Prévoyance is typically complementary to public pension systems, which provide basic income in retirement but may not cover all risks adequately. Tax treatment and social security rules governing prévoyance benefits differ by country and policy, and participants should review terms closely.