Aam Aadmi Bima Yojana (AABY)

 Explore Aam Aadmi Bima Yojana

In India, almost 33% of the working class receives below the International daily wage benchmark. With this amount, meeting even the daily basic needs becomes challenging. In this scenario, if the breadwinner gets injured or dies due to an accident, the family is left with no financial support. To address such concerning situations, the Government of India has introduced the Aam Admi Bima Yojana. 

It aims at providing financial assistance to the weaker section of society if the main earning member of the family dies or becomes disabled due to an accident. This insurance is specially designed for individuals working in various unorganized sectors such as fisheries, agriculture, handloom, etc. 

Keep reading to learn more about the AABY scheme, its coverage, benefits, application procedure, etc. 

What is Aam Admi Bima Yojana?

Launched by the Ministry of Labor & Employment in 2007, the Aam Admi Bima Yojana scheme is a social security scheme, especially for lower-income individuals. It is implemented through LIC and provides coverage against the death and disability of the policyholder. 

Members of specific vocational or occupational groups between the age group 18 and 59 years can apply for this scheme against an annual premium of ₹200. This scheme also grants scholarships for the children of eligible applicants studying in classes 9 to 12. 

Features and Benefits of Aam Aadmi Bima Yojana 

To gain a better understanding of the AABY scheme details, check out its features and benefits:
 

Exclusions of Aam Admi Bima Yojana 

Here are the situations or conditions that the Aam Admi Bima Yojana does not cover:

●Childbirth and pregnancy
●Mental health issues
●Cost of Hospitalization
●Disability or death due to abuse or criminal activities
●If the policyholder gets injured due to participation in extreme sports, war-like circumstances, radioactive, biological, or chemical weapons
●Suicidal death or self-inflicted harm

How to Apply for Aam Admi Bima Yojana?

Here are the steps to apply for Aam Aadmi Bima Yojana online registration: 

1.Visit the official website of LIC (Life Insurance Corporation of India).
2.Search for the "LIC Aam Aadmi Bima Yojana Apply Online" option on the homepage.
3.Select the option, and you will be redirected to the application page.
4.Fill out the form and upload the scanned copies of all the documents.
5.Select "Submit" to complete your application. 

Here are the steps for AABY registration offline:

1.Collect the application form from the nearest NIC nodal agency.
2.Enter accurate information in the application form and attach the required documents.
3.Visit the nearest Life Insurance Corporation office and submit the form.

For further information, you can SMS "LICHELP <Policy Number>" to 9222492224 or 56767877.

Eligibility Criteria of Aam Admi Bima Yojana

The eligibility criteria for the AABY insurance policy are as follows:

●The applicants should belong to a BPL (Below Poverty Line) family.
●Individuals between 18 and 59 years of age can apply for this scheme.
●If an individual is from a slightly APL (Above Poverty Level) family and part of a vocational group, they can apply for the AABY scheme.
●Individuals who belong to a rural landless family can apply for the Aam Admi Bima Yojana.
●The breadwinner of the family is only eligible to apply for this insurance.

Documents Required to Apply for Aam Admi Bima Yojana

The following documents are required to apply for Aam Admi Bima Yojana:

●Identity proof
●Application form
●Address proof
●Application form of the nominee
●The income certificate of the applicant 

Which Occupations are Covered Under Aam Admi Bima Yojana?

The Aam Admi Bima Yojana covers 48 occupations or vocations. Individuals associated with any of the following vocations or occupations can apply for AABY coverage:

●Physically disabled self-employed persons
●Handloom and khadi weavers
●Beedi workers
●Fishermen
●Salt growers
●Manufacturer of leather products or mineral products 
●Aanganwadi teachers
●Sericulture
●Foodstuffs like sugar/Khandsari
●Rural poor (agriculture-related work)
●Primary milk producers
●Agriculturists
●Sheep breeders
●Brick kiln workers
●Hamals
●Lady tailors
●Tendu leaf collectors
●Toddy tappers
●Printing
●Leather and tannery workers
●Manufacturer of wood products
●Textile
●Construction workers
●Kotwal
●Overseas Indian workers
●Rickshaw pullers/auto drivers
●Urban poor (street vendors and other casual labour)
●Powerloom workers
●Handicraft artisans
●Firecrackers workers
●Safai karamacharis
●Chemical products such as candle manufacturer
●Manufacturer of paper products
●Rashtriya Swasthya Bima Yojana (RSBY) covered unorganized workers
●Papad workers associated with Self Employed Women's Association (SEWA)
●Transport karmacharis
●Women from the hilly areas
●Carpenters
●Rubber and coal products
●Transport drivers association
●Plantation workers
●Rural landless households
●Cobblers
●Women associated with Self-Help Groups (SHGs)
●Handloom weavers
●Forest workers
●Coconut processors

How to Claim Aam Admi Bima Yojana Benefits?

The steps to claim AABY insurance are as follows:

Step 1: The nominee should submit the Aam Admi Bima Yojana claim form to the nearest LIC office within 30 days of the policyholder's death or accident. 
Step 2: The authorities will verify the documents and the reason for death or injury. 
Step 3: The state government will process the claim, and the insurance benefits will be credited to the nominee's bank account.

The Aam Aadmi Bima Yojana is a crucial step towards Indian social welfare and economic justice. Ensuring that even the most vulnerable sections of society have access to life insurance coverage plays a crucial role in safeguarding families against unforeseen tragedies. As India continues its journey towards comprehensive social security for all its citizens, initiatives like the AABY scheme will be pivotal in creating a more equitable society.