Andhra Bank launches three new schemes

Andhra Bank on Monday launched a composite credit card for farmers and two insurance schemes for self-help groups (SHGs) and senior citizens.

Speaking at the launch of the schemes, T S Narayanasami, chairman and managing director of Andhra Bank, said, "The scheme for senior citizens, AB Jeevan Prakash Plus, has been introduced in alliance with Life Insurance Corporation of India and United India Insurance Company."

The AB Jeevan Prakash Plus is a cumulative term deposit scheme for the senior citizens in the age group of 61-65 years providing insurance cover. The scheme offers free health insurance and free life insurance cover where there is no need for any medical examination. The depositors have two options of the amount of deposit of Rs 2 lakh or Rs 1 lakh.

In the first option, the health cover and the sum assured is Rs 50,000 with accidental death cover of Rs 1 lakh and in the second option the health cover and the sum assured in Rs 25,000 with accidental death of Rs 50,000.

Speaking about the health insurance scheme for the members of SHGs titled 'Swasthya Bima Policy', he said, "The scheme has been designed in alliance with United India Insurance Company Limited at a premium amount of Rs 140 a year."

According to him, any SHG or credit-linked group member in the age group of 15-65 years can join the scheme. The scheme offers reimbursement of hospitalisation expenses up to Rs 10,000 in addition to transportation cost up to Rs 200 and cost of meal to a maximum of Rs 150.

The last scheme, the AB Kisan Green Card, takes care of comprehensive credit requirements of farmers, which include crop production, land development, dairy development, purchase of cart and bullocks, sheep rearing, horticulture, purchase and repairs to agricultural implements, besides for consumption purposes.

"The scheme is operational under single window with flexibility and simplified procedures with an objective to provide adequate and timely credit for both long-term and short-term needs," Narayanasami said.

Under the AB Kisan Green Card, basing on the scale of finance and unit cost of a given activity, the loan would be up to five times of annual farm income or 50 per cent of the value of the land owned.

The scheme is issued without any collateral up to Rs 50,000.

Narayanasami said that the card is issued with a minimum limit of Rs 25,000 and a maximum of Rs 5 lakh and is valid for a period of three years with annual review and renewal. The card also includes personal accident insurance cover up to Rs 50,000 for crop loans and insurance for full value of the assets created from the loan amounts.