Aam Aadmi Bima Yojana

May 16, 2017 | Micro Insurance

Aam Aadmi Bima Yojana (AABY) launched by the department of Finance services of the central government on 2nd October 2007. Mainly launched for the landless and backward people of India to provide them security by the government. This scheme is mainly launched for the BPL family and also the family who are staying in the areas where the all-one facilities like hospitals and schools are not available so that they can also pull themself forward in the race of the world. There were many facilities that were given in this scheme like life insurance and also accident coverage and scholarships for the children of the insured family.

Eligibility criteria for Aam Admi Bima Yojana

These are the requirements for applying for the Aam Admi Bima Yojana

1. The person should be of age between 18 to 59 years.
2. The person should have to be the head of the family or the only member of the family who is earning.
3. The family should be below poverty line marginally above the poverty line

Benefits of Aam Aadmi Bima Yojana

The death benefit of this is scheme will be given to the nominee or the family of the policyholder on the natural death of a person is Rs. 30,000/-

If the death occurred due to an accident and there is permanent disability such as both Limbs are both eyes lost in this case the nominee will be given the amount of Rs. 75,000/-

In case of partial permanent disability due to an accident such as loss on 1 eye or one limb the amount will be given to the nominee or the family member of the policyholder is rupees 37,000/-
There is also an additional benefit of scholarship for the maximum 2 children of the family who is studying between 9th to 12th standard Rs.100/- per month for each child. It is payable every half-yearly.

KYC Documents required for Aam Aadmi Bima Yojana

• Ration Card
• Voters Card
• Birth Certificate
• Aadhar Card
• Any Identity card issued by the government.

Claim procedure of Aam Aadmi Bima Yojana

The death claim and the disability claim which comes under this scheme are to be settled by the unit of LIC. They make direct payment to the beneficiary through NEFT or direct transfer of money to the beneficiary account but this will require the approval of the nodal agency who verified the claim paper and the death or disability.

Death claim procedure

If the person met with the death during the period of coverage while the policy is in force the application should be made by the nominee or the family member.

The application will be along with the death certificate for the payment of the claim amount.

One designated officer of the particular nodal agency will verify the claim paper and the death.

Then the officer will submit the whole document to the office along with the death certificate and a certificate that the decided member was head or the only earning member of the family belongs to BPL or marginally above the BPL.

Then after the agency has to submit the following with the application and the claim form duly completed and the original death certificate with a copy.

Accident claim procedure

In this case, if the accident occurs some additional documents with the death certificate have to be provided that are:

• FIR copy
• Postmortem Report
• Police Conclusion Report

Scholarship claim Procedure

The policyholder of Aam Aadmi Bima Yojana who has children eligible for a scholarship should have to fill up the application form every half-yearly and submit it to the nodal agency the respected agency identifies and verifies the student. The nodal agency officer has to submit the list of the beneficiary students to the LIC unit with full detail that as the name of the student, school’s name, class, member’s name, policy membership number, bank detail for direct payment.

For more details visit:  http://financialservices.gov.in/insurance/gssois/aaby.asp