Insurance For Special Kids
11/22/2010 1:20 PM Monday
In India, insurance for children with special needs has always been a difficult task. However, the National Trust, under the Ministry of Social Justice and Empowerment, has been set up to help children suffering from autism, cerebral palsy, mental retardation and multiple disabilities. It has tied up with Bajaj Allianz to offer Asmita, a group insurance scheme, offering lower premiums.
The biggest advantage that Asmita has is that it is relatively cheaper as compared to other competing policies that are available for parents of special children. Under the scheme, an annual life insurance policy cover of Rs 10 lakh is given on the life of the parent/guardian of person with special needs. The fee under the Asmita scheme is dependent on the age of the person to be insured. The minimum entry age of the parent/guardian is 18 years and the maximum age up to which this insurance can be taken or renewed is 59 years. At the entry level of 18 years, the fee payable is as low as Rs 1,490 and can go up to a maximum of Rs 14,780 for 59 years of age. At a given time only one policy can be taken under this scheme. Therefore, only one parent or guardian is paired with one child. In case a parent has more than one special child, he can take insurance for him/her as well.
Registration for this scheme is divided into four parts. Persons enrolled between August 1 and October 31 will be covered with effect from December 3. Likewise, persons enrolled during November 1 to January 31 will be covered from March 3, and so on. For enrolling under Asmita, the following documents have to be submitted to the National Trust through the registered organization:
- Photograph of the person to be insured (parent/guardian) and the beneficiary (person with special needs)
- Legal guardian certificate if the application is not done by a parent
- Income proof of applicant
- Proof of relationship with the beneficiary
- Disability certificate of special person
- Cheque for payment of the fee applicable or proof of deposit of money with bank
All applications under this scheme have to be routed through organizations registered with the National Trust. A list of such organizations is available at the website of National Trust (nationaltrust.co.in). The application should be made in the prescribed format, attaching requisite documents like disability proof, income certificate, certificate of legal guardianship, in case the application is not by the parent.
In the eventuality of the death of insured person, naturally or by an accident, Rs 10 lakh is paid to the National Trust, who is the sole nominee under this scheme. No claim amount is payable in case of suicide or intentional injury to self by the insured person. In case of death of the insured person, the insurance company needs to be intimated immediately about the death of the insured person. The insurance company is supposed to settle the claim within 5 weeks from the date of receipt of the claim documents. This claim received can, at the discretion of the trust, be either retained by the trust itself to provide lifelong shelter and care to the beneficiary or disbursed to the beneficiary through his/her guardian. A beneficiary who has received a claim once cannot continue with the scheme or renew the same in future through another parent or guardian.
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