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NREGA workers get a special insurance cover

NREGA workers get a special insurance cover

Apnainsurance.com Research Bureau

21 Jul 2008

All 2.11 crore workers under the Center's flagship National Rural Employment Guarantee Act (NREGA) will get insurance cover. They will be covered under the Janashree Bima Yojana (JBY). The JBY, administered by the Life Insurance Corporation of India (LIC), was launched as a group insurance scheme back in 2000. The scheme is designed for people below the poverty line. Target customers include people in occupations such as rickshaw pullers, auto drivers, construction workers, farm laborers, handloom weavers and so on.

The premium for the scheme is Rs 200 per annum per member of a family, where half of the premium is paid by the insured or the state government with the Social Security Fund bearing the balance. In the event of death due to accident or permanent disability the families of the insured persons will get Rs 75,000. For partial disability the beneficiary will be eligible for Rs 30,000 and in case of permanent partial disability, due to accident, the beneficiary will get Rs 37,500.

The JBY scheme is available only for those who aren't already covered under any other life insurance or disability scheme sponsored by any other ministry or department.