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Govt aims to cover up to 50% of people with low-cost insurance schemes

May 26, 2015

Indian Finance minister Arun Jaitley has said that the government is looking to significantly increase the insurance coverage in the country to 40-50% of the population, compared to 20% currently, relying on the low-cost insurance plans launched under social security initiatives earlier this month. This is the first time that the government has set a target for the three social security plans, which includes life insurance (Pradhan Mantri Jeevan Jyoti Bima Yojana), accident cover (Pradhan Mantri Suraksha Bima Yojana), and a pension plan (Atal Pension Yojana), reported the Times of India..

The schemes have attracted more than 76 million subscribers since they were launched on 9 May. The vast majority comprising 58 million opted for the accident insurance policy, while 18 million bought the life cover. As at 20 May, the low-cost pension plan attracted 78,600 takers. Mr Jaitley said that if the schemes have huge acceptability, “then we are going to see how they can be strengthened in future”



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