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Hyderabad , Aug. 28

OVER 15-million rural homes in the lower income category with membership in around one million self-help groups (SHGs) across the country can now afford to insure their lives at a very low premium, thanks to the specially designed life insurance product of Aviva Life Insurance, a joint venture of Dabur with the UK-based insurance major Aviva Plc.

Keeping in view the concentration of SHGs in the southern part of the country and also aimed at taking advantage of its bancassurance partnership with the Karur-based Lakshmi Vilas Bank (LVB), the insurance company has decided to exclusively market the product through the branches of LVB.

The product, Jana Suraksha, has a sum assured of Rs 25,000 and Rs 50,000 and the premium can be paid annually as well as in lumpsum for a period of five years and ten years. The product also offers a double accident benefit, designed to provide death as well as double accidental death cover.

As many as 2.82 lakh SHGs were linked to bank credit in Andhra Pradesh involving cumulative credit outlay of Rs 975.5 crore. In the case of Tamil Nadu, the total number of SHGs stood at around 1.26 lakh covering total credit outlay of Rs 426 crore.

Addressing presspersons here on Thursday on the eve of unveiling the new product, the Aviva Plc International Managing Director, Mr Cees Schrauwers, said the company was looking forward to not only spread insurance coverage but also ensure that it was easily accessible to people who need it most, especially the economically deprived women.

The Aviva Life India Managing Director, Mr Stuart Purdy, hoped that the participation of LVB as bancassurance partner would provide further impetus to the venture.

The LVB Chairman and Chief Executive Officer, Mr A. Krishnamoorthy, said the bank planned to market the Jana Suraksha scheme to all the SHGs in the East and West Godavari districts of Andhra Pradesh and Thanjavur and Tiruchi districts of Tamil Nadu in the first phase.

The bank had identified 100 branches for selling insurance products of Aviva. It was also planning to launch a savings account-linked insurance scheme for its account holders, subject to the approval of the insurance regulator, he said.

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