Welcoming the launch of three mega social security initiatives — one pension and two insurance schemes — by Prime Minister Narendra Modi, India Inc today said it is a giant step towards creating a social security framework and will boost financial inclusion in the country.
"Establishing linkages of three social security schemes with bank accounts will go a long way in expanding penetration of insurance and pension in the country and serve the cause of extending universal social security cover in most economical and efficient manner.
"This is huge step in the direction of creating universal social security system in India," CII President Sumit Mazumder said.
Modi today launched three social security schemes in Kolkata, namely Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Atal Pension Yojana (APY).
The initiatives are aimed at providing affordable universal access to essential social security protection in a convenient manner.
"This is a very important step forward in our country's ability to provide adequate and affordable social protection to all citizens and widen the financial security net to the unorganized and underprivileged sector," Ficci President Jyotsna Suri said.
"We would extend our full support in promoting enrollment under these insurance schemes by connecting with our members and requesting them to encourage their employees to benefit from these schemes," she added.
The schemes are expected to address the issue of very low coverage of life or accident insurance and old age income in the country. PMSBY will offer a renewable one year accidental death-cum-disability cover of Rs 2 lakh for partial/permanent disability to all savings bank account holders in the age group of 18-70 years for a premium of Rs 12 per annum per subscriber.