Aam Aadmi Bima Yojana in Thoubal
AABY
Ministry of Labour & Employment, Government of India
Guidance for businesses in Thoubal
The Aam Aadmi Bima Yojana (AABY) is a social security scheme for rural landless households implemented by the Ministry of Labour & Employment, Government of India. The scheme provides insurance coverage to the head of the household or an earning member of the family in the age group of 18 to 59.
At a glance
- Scheme Name
- Aam Aadmi Bima Yojana (AABY)
- Implementing Ministry
- Ministry of Labour & Employment, Government of India
- Insurer
- Life Insurance Corporation (LIC) of India
- Natural Death
- ₹30,000
- Accidental Death / Total Disability
- ₹75,000
- Partial Disability
- ₹37,500
- Annual Premium
- ₹200 per member (50% via Social Security Fund)
Benefits
Life Insurance Coverage:
- Natural death: ₹30,000/-; Death due to accident: ₹75,000/-.
Disability Benefits:
- Total permanent disability (loss of two eyes or two limbs) due to accident: ₹75,000/-; Partial permanent disability (loss of one eye or one limb) due to accident: ₹37,500/-.
Scholarship:
- Two children of the beneficiary studying between 9th to 12th Standard shall receive ₹100/- per month (for each child half yearly – on 1st July and on 1st January, each year).
Annual Premium Amount:
- ₹200/- per member.
Subsidy from Social Security Fund (SSF):
- 50% of the total premium (₹100/-) is subsidized by the Government of India through the Social Security Fund (SSF).
Premium Payment for Rural Landless Households (RLH):
- The remaining 50% of the premium (₹100/-) is paid by the respective State Government or Union Territory.
Premium Payment for Other Occupational Groups:
- The remaining 50% of the premium (₹100/-) is covered by a combination of contributions from the Nodal Agency, the Member, and/or the State Government/Union Territory.
Eligibility
- The applicant should be aged between 18 and 59 years.
- The applicant should normally be the head of the family or an earning member.
- The applicant's family should be categorized as below the poverty line (BPL) or marginally above the poverty line.
- The applicant should belong to an identified occupational or vocational group.
- The applicant should be part of a rural landless household.
Documents required
- General Documents: Ration Card.
- Extract from Birth Register.
- Extract from School Certificate.
- Voter's List.
- Identity card issued by reputed employer/Government Department.
- Unique Identification Card (Aadhar Card).
- For Death Claim: Original death certificate along with a copy duly attested.
- For Accident Claim: Copy of FIR, Post Mortem Report, Police Inquest Report, Police Conclusion Report / Final Report of Police.
How to apply
- 1
Death Claim – Step 1:
- The nominee of the deceased member submits a claim application to the designated official of the Nodal Agency along with the original death certificate and an attested copy.
- 2
The designated official verifies the submitted claim documents.
- 3
The Nodal Agency prepares a claim packet, including the completed claim form, the death certificate, and a certificate confirming the deceased was the head or earning member of a BPL or marginally above BPL family under eligible occupations.
- 4
The verified claim packet is forwarded to LIC for processing.
- 5
Accident Claim Procedure:
- The nominee submits an application along with the Death Registration Certificate and additional documents, including the FIR, Post Mortem Report, Police Inquest Report, and Police Conclusion Report or Final Report. The Nodal Agency verifies the documents and forwards the claim to LIC for further processing.
- 6
Scholarship Claim Procedure:
- The member whose child is eligible for a scholarship fills out a scholarship application form twice a year and submits it to the Nodal Agency. The Nodal Agency identifies the eligible students and prepares a list of beneficiaries. The list, along with details such as the student's name, school, class, member details, and NEFT information, is sent to LIC's P&GS unit. LIC disburses the scholarship amount directly to the beneficiary's bank account through NEFT every half year on 1st July and 1st January.
About the scheme
The Aam Aadmi Bima Yojana (AABY) is a social security scheme launched by the Government of India to provide life and disability insurance to members of identified occupational groups, rural landless households, and unorganized workers. It is implemented by the Life Insurance Corporation (LIC) of India through nodal agencies.
Why it matters
- Financial Security:
- Insurance cover for rural landless households against death and disability.
- Education Support:
- Scholarship for two children studying in 9th–12th standard.
- Affordable Premium:
- ₹200 annual premium, with 50% subsidised through the Social Security Fund.
- Wide Coverage:
- Covers identified occupational groups, rural landless households, and unorganized workers.
Focus areas
- Life Insurance:
- Cover against natural and accidental death.
- Disability Benefits:
- Support for permanent total and partial disability.
- Scholarship:
- Education support for beneficiaries' children.
- Rural Social Security:
- Protection for rural landless households.
Is this scheme right for you?
The Aam Aadmi Bima Yojana (AABY) is a cornerstone social security scheme for India's rural landless households and unorganized workers. By providing life and disability insurance—plus scholarships for children—at a heavily subsidised premium, it offers essential protection to vulnerable families. If you are the head or earning member of an eligible rural landless household aged 18–59, this scheme can safeguard your family's future.
Frequently asked questions
What is the "Aam Aadmi Bima Yojana (AABY)"?
The "Aam Aadmi Bima Yojana (AABY)" is a social security scheme launched by the Government of India to provide life and disability insurance to members of identified occupational groups, rural landless households, and unorganized workers.
Who implements the AABY scheme?
The scheme is implemented by the Life Insurance Corporation (LIC) of India through nodal agencies such as state governments, central ministries, or other institutional arrangements.
What is the age limit for beneficiaries under AABY?
Beneficiaries must be between the ages of 18 and 59 years to be eligible for the scheme.
Who is eligible to apply for AABY?
The head or earning member of a family below the poverty line (BPL) or marginally above the poverty line (APL) in identified occupational groups or rural landless households is eligible to apply.
What benefits does AABY provide in case of natural death?
In case of natural death, AABY provides an insurance cover of ₹30,000/- to the nominee of the deceased.
What benefits are provided under AABY for disability?
The scheme offers ₹75,000/- for total permanent disability and ₹37,500/- for partial permanent disability due to an accident.
What is the scholarship benefit under AABY?
Two children of the insured, studying in grades 9 to 12, are eligible for a scholarship of ₹100 per month, payable half-yearly.
How are claims processed under AABY?
Claims are processed by LIC and are directly transferred to the beneficiary's bank account via NEFT or other approved modes after verification by the nodal agency.
What documents are required for accident claims?
Accident claims require additional documents, including a copy of the FIR, Post Mortem Report, Police Inquest Report, and Police Final Report or Conclusion Report.
When are scholarships disbursed under AABY?
Scholarships are disbursed twice a year, on 1st July and 1st January, directly to the bank accounts of eligible students through NEFT.
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