The Aam Aadmi Bima Yojana is a social security scheme launched by the Government of India to provide insurance cover and medical benefits to BPL (Below Poverty Line) and poor households in India. The main objective of the scheme is to provide insurance cover to the earning member of the family (breadwinner), as well as offer a lump sum amount to dependents, in case of death of the insured within the term of the plan.
Eligibility for Aam Aadmi Bima Yojana:
- All individual residents aged between 18 to 59 years are eligible to avail this insurance facility.
- The scheme is availed only by the head of the family or the earning member of the household.
- This is a social security scheme for BPL households in rural India.
- Authentic documents must be submitted by the beneficiary during claim settlement.
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Aam Aadmi Bima Yojana by the Government of India
Documents Required for Aam Aadmi Bima Yojana:
To enrol under the Aam Aadmi Bima Yojana scheme, the applicant must provide copies of the below-listed documents. The documentation process is an important step in availing the policy:
- Copy of Ration card
- Copy of Aadhaar card of the applicant
- The applicant must be enrolled in the voter’s list
- Birth certificate
- BPL Card
- Any identity card issued by a government organisation or an employer.
Features of Aam Aadmi Bima Yojana:
Outlined below are the key features of the Aam Aadmi Bima Yojana:
- The basic sum assured under this scheme is Rs 30,000
- The annual premium charges of the policy are Rs 200
- The policy provides various subsidies to the policyholders
- Around 50% of the insurance cover is funded by social security funds. The remaining 50% is funded by the respective state governments for rural landless households. In case of other occupational groups, the remaining 50% of the funds are provided by the nodal agency and the state government or union territory.
- The members are allowed to select a nominee at the time of signing up for the policy.
- The members must provide proof of age and other mandatory documents for enrolment in this scheme.
- The scheme provides education scholarships to the children of the insured along with death and disability benefit.
Benefits of Aam Aadmi Bima Yojana
- The policy offers a death benefit of Rs 30,000 in the event of natural death of the policyholder. The sum assured is given to the nominee or the dependents of the insured.
- In case of permanent disability or accidental death of the insured, the sum assured is Rs 75,000.
- In case of permanent partial disability due to an accident, the insured receives an amount of Rs 37,000.
- The scheme also provides education scholarship to the children of the insured. The benefit can be availed for a maximum of 2 children. A monthly scholarship of Rs 100 is offered per child.
There are certain exclusions as specified by the scheme. They are as follows:
- Cases of suicide or attempted suicide
- Hospitalization and cost of treatment due to childbirth and pregnancy
- Self-inflicted injuries due to mental illness or insanity
- Medical expenses arising due to an accident
- Injury, death or disability due to war or warlike activities
- Death or disability arising due to exposure to radiation, nuclear weapons and chemical weapons
- Injury or death caused due to breaching the law with criminal intent
- Injury or medical expenses arising out of participation in extreme sports
Claim Procedure of AABY Scheme:
In the event of the death of the policyholder, the family members or the nominee can apply for the claim. The death certificate along with other necessary documents must be submitted to the nodal agency as specified by the insurer. The claim application will be reviewed and verified by the agency before the settlement of the claim. Listed below are the documents that must be submitted in case of death of the policyholder:
- Duly filled claim application form
- Attested Copy of the original death certificate
- Medical certificate from the physician
For accidental death of the policyholder, certain specific documents must be submitted along with the above-mentioned documents. They are:
- Post mortem report received from the hospital
- Police enquiry report
- Copy of police FIR
- Final report submitted by the police.
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