"Aam Aadmi Bima Yojana" for rural landless households

New Delhi, Feb 28 (UNI) The Government will extend death and disability insurance cover through LIC to the rural landless househols under a new scheme "Aam Aadmi Bima Yojana" .

Finance Minister P Chidambaram announced this in his Budget 2007-08 presented in the Lok Sabha today.

The head of the family or one earning member in the family will be insured under the new scheme which will cover landless households.

The Central Government will bear 50 per cent of the permimum of Rs 200 per year per person. He also urged the State Governments to come forward to bear the rests of 50 per cent on behalf of the beneficiaries. Taking into account the annual cost to the Central Government, the Finance Minister placed Rs 1000 crore in a fund to be maintained by LIC. He further proposed to finalise the scheme in consultation with State Governments and implement it in 2007-08.

UNI