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Student insurance: Ministry to sign agreement with same company
The Education Ministry will next week sign the agreement to award the mandate for the continuity of the Suraksha student health insurance scheme for 2019/2020 with the same insurance company.
Ministry Secretary N.H.M. Chitrananda said an agreement would be signed to continue to provide health cover for 4.5 million school children aged 5-21 years in government schools, government-approved private schools (aided/unaided), privenna schools, special educational institutions and international schools.
The agreement with the company expired on November 29 and an urgent meeting was called with two service providers. After one of them withdrew, a decision was taken to sign the agreement with the same company.
He said the terms and conditions of the policy would remain intact. However he expected a reduction in the percentage of administration fee charged by the insurer. Last time, it was 9.7 %.
The Suraksha insurance scheme operates on three levels –health insurance, personal accident insurance and special benefits cover.
This will cover surgical and hospitalisation benefits up to Rs. 200,000 a year and outdoor patents’ treatment worth Rs. 10,000 for seven selected ailments. Also under the personal accident insurance benefit for both students and parents Rs.100,000 will be paid upon the sudden accidental death of a student or in the event of a permanent disability and Rs. 50,000 for those suffering permanent disability. Rs.75,000 will be paid to a student in case of accidental death of a parent/s.
The ministry this year reimbursed Rs. 2 billion to the insurance company. The insurer had received 95,000 claims amounting to Rs. 1.5 billion.
In 2017, the government paid Rs.2.7 billion to another company for more than 1,600 claims it received.