Date:10/03/2008 URL: http://www.thehindu.com/2008/03/10/stories/2008031058390400.htm

Kerala - Thiruvananthapuram

Talks with insurance firms soon

N.J. Nair

Unorganised sector to be major beneficiary
Implementation through government hospitals

THIRUVANANTHAPURAM: The government would soon start negotiations with public sector insurance companies for launching the Kerala Comprehensive Health Insurance Scheme aimed at benefiting all sections in the State.

Sources in the Local Administration Department told The Hindu that all the four public sector insurance companies would feature in the bidding process. Labourers in unorganised sectors not enjoying any insurance cover at present would be the major beneficiaries of the scheme.

Since the government is planning to implement the scheme through government hospitals, it is also expected to give a major fillip to the ailing public health system.

In addition to the Rs.20 crore set apart in the budget, the government would make use of the funds which the local self-government institutions (LSGIs) had deposited with a private insurance company during the tenure of the UDF government for implementing a similar scheme.

The department secured the money after prolonged correspondence with the company. It has also been decided go ahead with the steps to secure 12 per cent interest on the amount which the company had kept for a year.

The Kudumbashree Mission executive director has already written a letter to the regional head of the company in this regard, sources said.

While aiming to provide insurance cover to 12.72 lakh BPL families as identified by the Centre, the scheme would be extended to the 13 lakh families identified by the State government and also to families above the poverty line (APL).

The pilot project to be implemented in Kollam and Alappuzha would cover the families of the cashew and coir labourers.

While the BPL families would have to pay a registration fee of Rs.30 and a beneficiary contribution of Rs.100, the premium of Rs.750 would be covered through Central and State government subsidy.

Those families above the poverty line which do not have a single member employed in the organised sector and possessing less than one hectare of land will need to pay a beneficiary contribution of Rs.500 while others in the APL bracket will have to pay the full amount.