Mahatma Gandhi Bunakar Bima Yojana
The handloom development industry of our country really needs a helping hand from the government. The reason is, a major portion of the economy of all states depends on the handloom industry. The industry is mostly run by small and medium scale organizations and the workers are mostly government laborers. Now that being said, a responsibility lies in the hands of the government to enhance the situation of the handloom industry. And this is the reason the government introduced the Bunakar Bima Yojana. This was actually a combination of the Janasree Bima Yojana and the Add-on group insurance scheme. The scheme was formatted along with the collaboration of the LIC of India and in the years 2005-06, it was revised in the complete new name Mahatma Gandhi Bunakar Bima Yojana.
The objective of MGBBY
The primary motive of this scheme is to give a financial help to the weavers and their family. And they are also offering insurances to help them get a secured environment for working. The insurances shall cover accidental deaths or any partial/total disability.
The eligibility for MGBBY
To attain the benefits of Mahatma Gandhi Bunakar Bima Yojana, the following criteria need to be completed.
The weaver needs to earn a minimum amount of 50% from the handloom weaving. The weavers of all the communities shall be covered within the scheme. The minorities, and also those weavers who belong to the NER community shall also have the facility to enjoy these benefits.
The weavers who are within the State of Handloom Development Corporation, Primary or the Apex handloom weaver’s community are also covered in this scheme. Also the weavers who are outside the Weaver’s community shall also be covered. But the eligibility criteria should be met and the directorate of handloom needs to certify that the person is actually eligible for attaining the benefits.
The verifications
The state director in charge of Handloom shall take care of the verifications of the weavers so that they get the facility properly. The State Director in Charge and the LIC shall also ensure that the women weavers, minorities and weavers of the NER states are offered with adequate benefits of the scheme.
The operational modalities
This scheme is renewable every year and this coverage shall continue till the next payment date of the premium on the renewal date every year. The premiums need to be paid for only once. And once the premium is paid, shall not be refunded. The total number of renewals shall be effective each year and it needs to be remembered that the insurance coverage shall become only effective when total amount of premium is received by the government. The prospective beneficiary will have to fill up the application form, which is also called as the nomination form. And that form will be submitted to the nodal office. The application form is available from the respective LIC offices of the regions. No medical certificate shall be required but you will need to make self certification. This means the individual looking to take up the benefits, shall have to be there in person.
A tabular overview of the Mahatma Gandhi Bunakar Bima Yojana
| SL NO | Premium Contribution | Amount |
| 1. | Contribution of the weaver | Rs 80 |
| 2. | The GOI Contribution | Rs 150 |
| 3. | LIC’s contribution | Rs 100 |
| 4. | Natural Death | Rs 60000 |
| 5. | Accidental Death | Rs 1, 50, 000 |
| 6. | In case of a partial disability | Rs 75000 |
| 7. | In case of a complete disability | Rs 1,50,000 |
Apart from this, there are certain additional benefits which include a scholarship for the children of the weaver’s family. An amount of Rs 300 per quarter per child shall be offered to the students who are in standard IX to XII.
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