GOVERNMENT OF ANDHRA PRADESH
Insurance – Andhra Pradesh Government Life Insurance Department – Recommendations of the Committee on commencement of the premium deduction from the date of payment of first month salary - Instructions to all Drawing & Disbursing officers – Orders – Issued.
FINANCE (ADMN.II) DEPARTMENT
G.O.Ms.No. 199 Dated: 30 -07-2013
Read the following:-
1. G.O.Ms.No. 368 Finance & Planning (FW.Admn.II) Department,
Dated: 15-11-1994.
2. G.O.Ms.No. 231 Finance (Admn.II) Department, dated: 28-06-2010.
3. G.O.Rt.No.83 Finance (Admn.II) Department, dated 07-01-2013.
4. Committee Report on simplification of procedures in the Directorate of Insurance, A.P., Hyderabad, dated: 27-02-2013.
5. Director of Insurance, Hyderabad letter No. 1/General/2012-2013, Dated: 21-03-2013.
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In the reference 1st read above, Government have introduced the slab rates of compulsory premium towards Andhra Pradesh Government Life Insurance Scheme for the State Government Employees.2. In the reference 2nd read above, Government have issued orders for enhancement of compulsory A.P.G.L.I premium slab rates as per the Revised Pay Scales, 2010.
3. In the Government order 3rd read above, the Government have constituted a Committee to study the possibilities of simplification of procedures and efficient functioning of the Department to render quick service to the Policy holders.
4. In the reference 4th read above, the Committee has submitted a report to the Government, wherein it was recommended that “ under the present system, deduction from monthly salary starts from the date of second year. Government may consider covering the employees under the A.P. Government Life Insurance Scheme from the date of payment of his / her first monthly salary”.
5. In the reference 5th read above, the Director of Insurance has stated that as per the APGLI Fund Rule, an employee who is appointed under 10(a)(i)(1) of the General Rules for the State and Subordinate Services is eligible to get insured with Directorate of Insurance on completion of one year service. This condition might have been relevant in the olden days where there were temporary appointments. Presently, almost all the appointments are made on regular basis mainly through A.P.P.S.C./D.S.C./Police recruitment board, Hence, the existing condition of one year service for recovery of A.P.G.L.I. premium may not be applicable. Also, the condition of completion of one year service is denying the newly recruited employees from getting the benefit of risk coverage.
6. Further, the Director of Insurance has requested the Government to kindly issue necessary orders for effecting the A.P.G.L.I. premium recovery in the first month salary of the employee soon after he/she joins the Government service without the condition of (1) year service completion.
7. Government after careful examination of the recommendations of the Committee and as per the request of the Director of Insurance, Government hereby permitted to recover the compulsory premium amount which was prescribed in the Government orders from time to time to be deducted from the date of payment of first month salary soon after he /she joins the Government service on regular basis without waiting for completion of one year service.
8. The Drawing and Disbursing Officers concerned are therefore requested to recover the compulsory premium of A.P.G.L.I. amount which was prescribed in the Government orders from time to time to deduct the compulsory premium from the date of payment of first salary soon after he/she joins the Government service without waiting for completion of one year service, who are in the insurable age of 21-53 years.
9. The Drawing and Disbursing officer is solely responsible for recovery of 1st premium and submission of prescribed form immediately to concerned District Insurance Officer after recovery of 1st premium, to enable the concerned District Insurance Officer, to issue policy within one month.
10. Necessary amendments to the A.P.G.L.I. Fund Rules will be issued separately.
11. This order came into force with effect from the date of issue of the order and earlier settled cases need not be reopened.