The Union Cabinet on Thursday approved extension of medical facilities to beedi workers under the Rashtriya Swasthya Bima Yojana (RSBY).

The beedi worker and his family (unit of five) will be covered and the total sum insured would be Rs 30,000.

The other benefits and procedures under the scheme will be the same as under RSBY. Any claims beyond Rs 30,000 will be reimbursed directly by the related Welfare Commissioner to the concerned empanelled hospital through the existing procedure, an official release said.

The estimated expenditure to be borne by the Central Government is approximately Rs 311.25 crore (this includes 75 per cent of the premium and the cost of the smart cards). The annual premium is estimated at Rs 750 a year of which 75 per cent would be as Central share and the State Government's share would be 25 per cent.

The State Government will identify and register beedi workers. It is proposed to cover 10 lakh beedi workers in the current financial year and cover 100 per cent of the total beedi workers by 2013-14.

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