Social insurance is administered through the National Insurance Institute (NII) according to the National Insurance Law (1953). In 1992 NII benefits amounted to 8% of GNP and covered all major contingencies of income loss, including unemployment, disability and maternity (Ministry of Labor and Social Affairs, 1995). Child allowances are paid to every family according to the number of children. The NII is also responsible for provision of income maintenance benefits (Income Support Law 1980) which guarantee a minimum subsistence income to all citizens.

Expenditures on national health care comprised 7.7% of GNP in 1992 (Ministry of Labor and Social Affairs, 1995). Nearly all Israeli citizens, both Jewish and Arab, were covered by national health insurance even before the enactment of a new National Health Insurance Law in January 1995. Most health services are provided by four major voluntary sick funds and are regulated by the Ministry of Health. The system allows free choice of sick fund. Health services are funded through earmarked taxes paid by citizens and employers, and by Government supplementation. The Ministry of Health provides universal preventive well baby care.

National expenditures on education comprise 8.5% of GNP (1992) (Ministry of Labor and Social Affairs, 1995). Israel has free and compulsory education for children aged 5-15. The vast majority of the population is educated in the free, government-supervised, public school system and only a small proportion (which is larger among the Arab population and certain religious Jewish groups) attend private schools that operate outside the system. The educational structure recognizes national and religious differences and maintains separate systems for Jews and Arabs as well as separate secular, religious and ultra-orthodox school systems.

For the majority of Israeli children, education begins before age five and continues after age 15. Approximately 95% of Jewish Israeli children attend publicly subsidized and supervised nursery schools from the age of three. The rate of participation of three-year-olds in these frameworks is much lower in the Arab sector, estimated at 44% (Ben-Arie, 1995). More than 91% of youngsters aged 15-17 attend schools (see Education section). Again these rates are lower among Arabs.

Personal social services are provided through a network of neighborhood-based social welfare offices staffed by university-trained, professional social workers. These are directly operated by the municipalities though most of the financing comes from the Ministry of Labor and Social Affairs. These offices provide a "one-stop" approach for individuals with a variety of needs including single-parent families, multi-problem families, abused and neglected children and disadvantaged youth. Other personal social services are provided by social welfare personnel employed within the education and health systems and by voluntary and non-governmental organizations, whose role has been expanding in recent years.

The employment service operated within the Ministry of Labor and Social Affairs serves as a point of access to training programs and operates special units for young people. Subsidized housing loans are available for all Israeli families. Larger loans are available for new immigrants and young couples from disadvantaged socioeconomic backgrounds.

In addition, the military provides special programs for disadvantaged young people who are enlisted. Local authorities play an important part in the provision of many services that are regulated by the Ministries.

Before reviewing the major policy directions and issues in each of the governmental branches, it is important to note that the large number of ministries, departments and local authorities involved in determining and implementing child policy often leads to extensive coordination problems among the various services, at both the policy and case levels. Many of the people we interviewed noted that the lack of coordination among services and the lack of a comprehensive policy on children's issues are major causes of inadequate service provision. Problems include: lack of coordination among educational, welfare and health services, both on the national and on the local level; lack of coordination between the local level, responsible for implementing policy, and the national level, which has regulatory and professional supervisory functions; and overlapping and duplication of responsibilities and lack of coordination among different departments and units within the same ministry.