Pension and insurance benefits coming soon for the low-income group? Check PFRDAs suggestion to Modi government

Modi government has come up with various schemes for the benefit and financial stability of corporates and people from all walks of life. Now, in the latest development,  Supratim Bandyopadhyay, the chairman of the Pension Fund and Regulatory Authority of India (PFRDA) has proposed a composite social security scheme for low-income persons.

To enhance social security cover for unorganised sector workers and low-income persons, a composite scheme providing both pension and insurance benefits has been suggested to the government, the chairman of the Pension Fund and Regulatory Authority of India (PFRDA) said. "The authority has suggested to the Finance Ministry that a comprehensive social security scheme can be explored for people having low income, " PFRDA Chairman Supratim Bandyopadhyay said, as per a report in PTI.

"We have given some suggestions to the government. We are thinking whether we can have a comprehensive pension scheme taking along APY (Atal Pension Yojana), Pradhan Mantri Jeevan Jyoti Bima and Suraksha Bima. We are thinking of taking all these products together whether we can have a combined kind of scheme," Bandyopadhyay said. The scheme, he said, can be managed in a way so that the APY part comes to the PFRDA and the insurance part goes to the insurer.

"All these things can come together. APY will give the pension benefit," the old age security, along with that people need insurance benefits also," he said. Bandyopadhyay said the insurance premium under the government's schemes targeted for the poor and less privileged are very competitive.

In Jeevan Jyoti Bima, the government is charging only Rs 330 yearly while the Suraksha Bima for accidental death cover charges only Rs 12 a year or only a rupee a month, he added. "APY also is quite low (charge wise). So if all these things can be clubbed together, a person will be covered from all the sides. So we have been discussing with the ministry. So let us see if something comes out of that," said the PFRDA Chairman.