LIC Policy: After the COVID-19 pandemic, people have become cautious about their health insurance and life insurance covers. In fact, the Government of India (GoI) has also become cautious in providing health and life insurance policies to the common man. These are those people who may not be from the organised sector. For such earning individuals, who work in the unorganised sector, Life Insurance Corporation (LIC) Aam Aadmi Bima Yojana is one such solution, which is providing life-time policy along with accidental death cover.
LIC Aam Aadmi Bima Yojana features
As mentioned above, LIC Aam Aadmi Bima Yojana provides Rs 30,000 life insurance cover to the insured in case of natural death during the policy tenure, which means upon the death of a member during the term of the LIC policy, a sum assured amount of Rs 30,000 will be paid to the nominee. Apart from this, the LIC policy qualifies for accidental death or disability benefit in case of accident during the term of the insurance.
As per the LIC Aam Aadmi Bima Yojana details, the LIC policy holder will be eligible for Rs 37,500 for accidental disability and Rs 75,000 life insurance cover will be paid to the nominee in case of accidental death of LIC policy holder.
Speaking on the LIC Aam Aadmi Bima Yojana; SEBI registered tax and investment expert Jitendra Solanki said, “LIC Aam Aadmi Bima Yojana is a result of merger of two major social schemes – Aam Aadmi Bima Yojana and Janashree Bima Yojana. It is a social security scheme launched for rural landless households. One earning member of the family(usually the head of the family) is covered under the scheme. The central government and the state government share the premium payment equally.”
On other advantages that this LIC Aam Aadmi Bima Yojana holders get, Solanki said, “This LIC policy also provides an add on benefit wherein scholarship will be given to a maximum of two children of the beneficiary who is studying between 9th to 12th standard for Rs 100 per month.” He said that LIC Aam Aadmi Bima Yojana is based on the Nodal Agency Model. The Nodal agencies include Panchayats, NGOs and self help groups. The Nodal agency can get in touch with the nearest pension and group schemes office or any LIC office to join the scheme.
Eligibility and premium
One can buy LIC Aam Aadmi Bima Yojana from 18 years of age to 59 years of age.
LIC Aam Aadmi Bima Yojana premium per annum is Rs 200 out of which 50 per cent or Rs 100 will be paid by the state or union territory government. So, the LIC policy holder will have to pay Rs 100 only. So, to avail the LIC Aam Aadmi Bima Yojana benefits mentioned above, one needs to pay Rs 100 per annum only.