Death, disability insurance for rural landless launched

The centre on tuesday launched a scheme for providing death and disability insurance cover for rural landless households...

The centre on tuesday launched a scheme for providing death and disability insurance cover for rural landless households, a programme for which Rs 1,000 crore was earmarked in this year’s budget.

The scheme, called Aam Admi Bima Yojna, will cover all rural landless households which do not enjoy any insurance benefits. Launching the scheme, Finance Minister P Chidambaram distributed certificates to a few locals here on Tuesday on the occasion of Gandhi Jayanti. This is the third major social welfare measure announced within a week by the UPA Government at the Centre, which seems to be in election mode after standoff with Left parties over the Indo-US nuclear deal.

Already, the Government has announced the expansion of the National Rural Employment Guarantee scheme to all districts in the country at an estimated cost of Rs 20,000 crore annually.

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On Monday, the Government launched National Health Insurance Scheme for families living below poverty line. Despite launch of so many social sector schemes, the Government would not miss the fiscal deficit target for this fiscal, Labour Minister Oscar Fernandes said on the occasion.

According to a National Sample Survey report, the estimate of such households is about 1.5 crore. However, the number to get the cover may be actually more than indicated in the NSS report. Under the scheme, the head of the family or one earning member in the family will be insured. The Centre will bear 50 per cent of the premium of Rs 200 per year per person and states will bear the remaining portion.

The Budget for 2007-8 had kept aside Rs 1,000 crore in a fund to be maintained by Life Insurance Corporation.