Social Security
for the Poor 22.
More than one third of our population still lives below the poverty line. There is an
imperative need to extend some social security cover to the poorest sections of our
society. I have decided to introduce a new scheme of group insurance, "Janashree Bima
Yojana", under which beneficiaries will have insurance cover of Rs.20,000 in case of
natural death, Rs.50,000 in case of accidental death or total permanent disability and
Rs.25,000 for partial permanent disability due to accident. Premia will be fixed on an
actuarial basis. Below poverty line participants in this Scheme will pay only half the
premium, with the remainder being contributed from earnings of LICs existing Social
Security Fund, suitably augmented by Government. On this basis, the monthly premium to be
paid by the beneficiary is expected to be Rs.10 or less. This scheme will lay a firm
foundation for insurance cover to the poorest in our country. |