Govt shortlists 4 firms to roll out farmers' health insurance scheme

New India Assurance, IFFCO-Tokyo, National Insurance and Reliance Insurance bag Rs 100-cr order

The Odisha government has selected four insurance firms to roll out its farmers' health insurance scheme under the Biju Krushak Kalyan Yojna (BKKY). The firms, New India Assurance, IFFCO-Tokyo, National Insurance and Reliance Insurance, were selected through a tender process participated by 14 bidders in August this year.

While Reliance Insurance and IFFCO-Tokyo will implement the scheme in four divisions, New India Assurance and National Insurance have been given this responsibility in one division each. To roll out the scheme, the state has divided central, northern and southern zones into two division each.

As per the final result of the tendering process, the Reliance firm will operate in one division of central Odisha and one in north Odisha. IFFCO-Tokyo will implement the scheme in one division of northern Odisha and one in south Odisha. While New India Assurance will be in charge of one division in central Odisha, National Insurance will work in one division of southern part of the state.

The scheme was announced in May this year as per the budgetary promises of the state government. The Expenditure Finance Committee of the government has approved the scheme with an outlay of Rs 613 crore for four years. For the current fiscal, Rs 100 crore has been sanctioned. The four firms have bagged the order for 2013-14.

"The government is keen to roll out the scheme this month. It might be started after Puja holidays," said a senior official in the agricultural department.

On behalf of the department, the state directorate for agriculture and food production, which has been appointed as the nodal agency for implementing the scheme, had floated the tender.

The department of agriculture and food production has been assigned the task to prepare the list of all eligible farmers, irrespective of their financial status such as Below Poverty Line (BPL) or Above Poverty Line (APL). The scheme is expected to cover about 2.5 crore people from the farming community.

As per the scheme, five members per family will be provided insurance cover of Rs 1 lakh. Besides, the farmers will be issued smart cards, which can be used at hospitals to avail health care benefits.

For the treatment of minor diseases and surgeries, the insurance benefits will be provided in line with the packages prescribed in Rashtriya Swasthya Bima Yojana (RSBY). For major surgeries, with cost estimates of more than Rs one lakh, the insurance coverage will be decided later, sources added. To avail the benefit, each family has to pay Rs 30 as enrolment fee. However, if a beneficiary has already paid Rs 30 under RSBY, no enrolment charge will be collected from him.