Telangana: Rythu Bima claims hit as Rs 441-crore premium dues remain unpaid

The Rythu Bima insurance scheme is reportedly facing difficulties due to unpaid premiums amounting to Rs 441.23 crore. With thousands of claims pending, former minister S Niranjan Reddy accused the Congress government of neglecting the scheme and demanded its continuation.

Hyderabad: The Rythu Bima insurance scheme has reportedly run into trouble due to the non-payment of premiums by the Congress government, with the Life Insurance Corporation (LIC) keeping thousands of claims pending over outstanding dues.

The State government has not paid Rs 441.23 crore in premiums to LIC, resulting in 7,606 pending claims under the farmers’ insurance scheme. LIC officials reportedly indicated that if the arrears are cleared immediately, 3,919 claims worth about Rs 195 crore could be settled by August 14. However, there has been no response from the State government.

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Former Agriculture Minister S Niranjan Reddy accused the Congress government of shelving the scheme by failing to pay the insurance premium. Calling it a historic betrayal of farmers, he demanded that Rythu Bima be continued in its original form.

He said the scheme, introduced during the BRS regime, provided Rs 5 lakh as financial assistance to the families of deceased farmers irrespective of the cause of death. He said 1.11 lakh farming families benefited from the scheme during the previous government’s tenure.

He also questioned the status of the government’s recently announced life insurance scheme for all families, pointing out that it had not moved beyond announcements.