Bhubaneswar: ‘Aam Admi Bima Yojana’ is a scheme of the Central & State Governments launched on   2nd October 2007, administered by LIC of India for the benefit of landless agricultural laborer households. It is a group Insurance Scheme for the age group of 18-59 years. 

The members should be head of the family (bread winner) or one earning member in the family of rural landless household who are dependent on agricultural labor as their primary source of livelihood. The Premium to be charged under the Scheme is Rs. 200 per annum per member, of which 50% will be contributed by the Central Government and the remaining by State Governments.

Under the Scheme, all rural landless households would be provided life and disability cover. On death and permanent disability due to accident, the family would get Rs. 75,000, in case of partial disability due to accident, the Insurance cover would be Rs.37,500. On natural death, the family would get Rs. 30,000. 

A free add-on scholarship benefit for the children of the members of AABY is provided under this scheme. A scholarship at the rate of Rs. 100/- per month will be given to maximum two children studying between 9thto 12th standard. This scholarship, however, is payable half yearly.

The Panchayati Raj Department will implement this scheme and Odisha Poverty Reduction Mission (OPRM) will function as the Nodal Agency for such scheme. Nodal Agency will Act for and on behalf of Government of Odisha and the Insured Member in all matters relating to the scheme. In our state once implemented, we may call is as Odisha Aam Admi Bima Yojana. In the 1st  phase State will be extending the benefit to all poor households who have completed 100 days of work under MG NREGS in the year 2010-11.

The MoU has been signed today between Director, NRLM and Additional Secretary, Panchayati Raj Department Smt. Usha Padhy and Zonal Manager, East-Coastal Division, Life Insurance Corporation of India, Sri Vinaya Saha and Sr. Divisional Manager Sri B. Majhi, in the presence of Chief Secretary Sri Bijoy Kumar Pattanaik, Principal Secretary, Finance Department Sri Jugola Kishore Pattanaik, Commissioner-cum-Secretary, Panchayati Raj Department Sri Pradeep Kumar Jena and other Senior officials of Panchayati Raj Department and LIC Department.