LIC may write insurance policy for women self-help groups

HYDERABAD/MUMBAI:
The United Progressive Alliance authorities is looking at rolling out a
micro-insurance strategy for women self-help groupings to supply security to scores
of mediocre women in the country. The scheme, perceived to be a populist measure,
could have in the Budget. The Life Insurance Corporation (LIC) is
understood to have got been asked to work out the modes of an coverage scheme
aimed at providing life screen to these segments. The authorities will part-fund
the coverage premium obligations, implying that it may look at giving a 50% subsidy to
the insurance company that offerings the scheme. Officials involved in the exercise
said the strategy could be offered by LIC and other insurance companies as well. The insurance premium plant out to Rs 5 to Rs 6 for a sum of money assured of Rs 1,000. The sum of money assured for a life screen to this section could change from Rs 10,000 to Rs
50,000. So the insurance premium payout would change from Rs 50 to Rs 250 a year. The
government is also looking at a service taxation release on the insurance premium amount as the
product is targeted at low income groups. The authorities is also
understood to have got held negotiation with LIC on extending the range of the
Bhagyalakshmi Insurance strategy introduced by the Mysore authorities at the
central level. The Bhagyalakshmi strategy is aimed at providing support to
families below the poorness line with a miss child. Sources said the
government was looking at support a strategy which would supply conditional
transfer of finances to a mediocre household with a miss child. The assorted conditions
subject to the monetary fund transportation include mandatory school attending and family
planning by a parent. The strategy was introduced in Mysore a
couple of old age ago with the aim of improving the male-female ratio. Sources said the authorities had made enquiries on the sort of funding
requirement to do such as a strategy feasible. In the past, successive
government’s have got announced coverage strategies for the poor, but none of
these strategies were specifically targeted at women. Policy directors are assessing
the efficaciousness of some of the strategies introduced in the past. Last year, for
instance, the authorities announced the Aam Admi Bima Yojana to widen decease and
disability coverage screen to the unorganised sector. The strategy is
managed by LIC. Rashtriya Swasthya Bima Yojana is a wellness coverage strategy for
below-poverty-line households and supplies benefits of up to Rs 30,000. The
premium expenditure is to be borne by both the cardinal and state governments. Earlier,
the National Democratic Alliance authorities had announced two strategies through
LIC â€" Varishta Bima Pension Yojna and Janshree Bima Yojna.