Press Esc to close
Tuesday 02 September 2014
News updated at 2:32 AM IST
Weather
Max: 27.4°C
Min : 19.4°C
In Bangalore
Sunny day

Bhagyalakshmi scheme for girl child in trouble

PM Raghunandan, Bangalore, DH News Service:

LIC cannot assure maturity amount

Chief Minister Yeddyurappa’s pet scheme, Bhagyalakshmi, has landed in trouble. The Life Insurance Corporation of India (LIC) has informed the State Government that it cannot assure the maturity amount (Rs 1,00,097 lakh and Rs 1,00,052 in two categories) to the beneficiaries from the coming year.

The reason cited by the LIC is that the premium amount being paid by the Government is less, according to official sources.

Under the scheme, the Government provides insurance cover to girl children soon after the birth (one year after the birth). The first two girl children in a family will get the benefit. The Government pays a premium amount of Rs 19,350 for the first child and Rs 18,350 for the second one. The first child will get an assured maturity amount of Rs 1,00,097 lakh and Rs 1,00,052 lakh to the second after attaining 18 years of age.  These children can also avail themselves educational loan and medical facilities using these bonds.

The LIC in a recent letter to the department of Women and Child Welfare, has said that it cannot declare the maturity amount in the bond in future “in the present circumstances.” “But the LIC has not elaborated the reason for its decision in the letter. It is clear from the letter that the LIC wants the Government to increase the premium amount and that it is incurring loss. The Corporation may raise the issue while renewing the contract with the Government for the scheme,” sources said.


The LIC, official sources said, is not showing much enthusiasm in implementing the scheme because of this reason. As a result, the Government has not been able to distribute a single bond so far this year. The Government on its part has identified 77,404 beneficiaries this year and released Rs 125.99 crore to the LIC towards the premium amount. But the LIC is yet to supply the insurance bonds.

CM Yeddyurappa while reviewing the scheme recently turned furious over the delay and directed the officials to issue notice to the LIC, if necessary. When contacted, Women and Chief Development Minister P M Narendraswamy said he is not aware of the LIC’s letter. “The LIC is the most-trusted company. So, we selected it for implementing the scheme. If they cannot guarantee the maturity amount in future, we will look for an insurance company that will agree to our conditions,” he stated.

Reasons cited

 

* LIC says it cannot assure the maturity amount to the beneficiaries at the present premium rate
*  Wants the Government to increase the premium amount in future
*  Government has not distributed a single insurance bond this year
*LIC yet to supply bonds to the Government

Go to Top

Photo Gallery
President Pranab Mukherjee grants degree to a student at the 14th convocation of the University...

President Pranab Mukherjee grants degree to a student at the 14th convocation of the University...

Fireworks on the occasion of 410th installation anniversary of Sri Guru Granth Sahib, the holy...

Fireworks on the occasion of 410th installation anniversary of Sri Guru Granth Sahib, the holy...

Left Front activists take part in a rally to observe anti-imperialist day in Kolkata on...

Left Front activists take part in a rally to observe anti-imperialist day in Kolkata on...

Flood water flows through Srisailam dam after its four crest gates were opened in Kurnool on...

Flood water flows through Srisailam dam after its four crest gates were opened in Kurnool on...

BJP president Amit Shah during a visit to Sree Padmanabhaswamy temple in Thiruvananthapuram on...

BJP president Amit Shah during a visit to Sree Padmanabhaswamy temple in Thiruvananthapuram on...

Prime Minister Narendra Modi shakes hands with Japanese Minister of Foreign Affairs Fumio...

Prime Minister Narendra Modi shakes hands with Japanese Minister of Foreign Affairs Fumio...

Actress & BJP MP from Chandigarh Kirron Kher speaks during a seminar on...

Actress & BJP MP from Chandigarh Kirron Kher speaks during a seminar on...

Prime Minister Narendra Modi and Japan's Prime Minister Shinzo Abe makes a toast during a banquet...

Prime Minister Narendra Modi and Japan's Prime Minister Shinzo Abe makes a toast during a banquet...

Congress president Sonia Gandhi prays in a temple during a visit to her constituency Rae Bareli...

Congress president Sonia Gandhi prays in a temple during a visit to her constituency Rae Bareli...

Congress president Sonia Gandhi in a village hut during a visit to her constituency Rae Bareli on...

Congress president Sonia Gandhi in a village hut during a visit to her constituency Rae Bareli on...

Copyright 2014, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bangalore - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523