LIC Bima Sakhi: 10th pass women can work and earn up to Rs 11,000 per month

Prime Minister Narendra Modi on Monday launched the LIC Bima Sakhi Yojana in Panipat, Haryana.

 

According to the Life Insurance Corporation, this initiative will support and empower women between the ages of 18 and 70 with at least a Class X education.

 

"LIC Bima Sakhi Yojana is not only going to create new livelihood opportunities for rural women but will also increase the reach of insurance in the deprived areas of India," said Pankaj Dhingra, CA & US CPA, Managing Partner at FinTram Global LLP.

 

Features of the scheme

 

Fixed stipend with commissions: Women will receive a fixed stipend for the first three years alongside commissions for policy sales.

Flexible work schedule: Participants can set their own working hours.

Training support: LIC will provide structured training programmes for the agents.

 

Women enrolling in the scheme will undergo specialised training and receive a stipend during the first three years to enhance financial literacy and increase insurance awareness. Upon completing the training, participants can work as LIC agents. Graduates of the programme, referred to as Bima Sakhis, may also qualify for development officer roles within LIC.

 

Applicants will need to provide proof of age, educational qualifications, and address to enrol in the scheme. 

 

Eligibility requirements

 

< Women aged 18 to 70 years

< Minimum educational qualification of Class X

< Relatives of existing agents and employees are ineligible

< Retired employees are not eligible

 

Stipend and commission

 

Participants will receive a commission of Rs 48,000 (excluding bonuses) for the first year. They will also be provided with a monthly stipend:

 

Rs 7,000 in the first year

Rs 6,000 in the second year, contingent on at least 65% of policies sold in the first year remaining active

Rs 5,000 in the third year, under similar conditions as the second year

 

Women achieving their targets will qualify for commission-based incentives.

 

Sakhi Bima may boost financial literacy

 

"The penetration of insurance is still low in India. Several such initiatives are taking root in the country with companies investing in creating a trained group of agents that can enhance financial literacy and deliver financial services including insurance to the last mile," said Sandeep Katiyar, Co-Founder and CFO at Finhaat.

 

"Any and all initiatives that may help in the spread of financial literacy and knowledge about personal finance will get more people to buy insurance and manage their financial risks better," he added.

 

"The scheme’s focus on training and providing career opportunities for women as agents and development officers reflects its potential for long-term inclusivity and success in the financial services. By nurturing financial awareness and self-reliance, LIC Bima Sakhi Yojana is poised to make a significant impact," said Dhingra.

 

A World Bank study, prepared for G20 Global Partnership for Financial Inclusion (GFPI) shows that women, particularly those with low literacy, are more likely to ask questions, seek help and transact if they can interact with a woman agent. "If financial institutions hire more women banking agents, they get more women customers who will then use financial services more often," the report said.