The question of increasing the rural life insurance claim was once again raised in the National Assembly. The members urged the government to fulfil its campaign promise to raise the claim from Nu 30,000 to Nu 150,000. The issue was met with mixed responses. The Finance Minister talked about the struggling economy and the need for careful review before implementing any changes to the policy.
The Royal Insurance Corporation currently manages the Rural Life Insurance scheme. They provide financial assistance to households in the event of a death. The program has been particularly helpful in addressing the high cost of funeral rites. Today, the annual premium is just Nu 87 per family member.
“When we talk to the people, we get questioned about the rural life insurance claim increasing that the government and the opposition party promised during their campaign. I think it is important to give these people their answers,” said Dorji Wangmo, MP, Kengkhar-Weringla, Monggar.
“I understand that the country’s economy has not fully recovered. But even if it is not Nu 150,000, if the government can increase it to Nu 50,000 or 70,000 or 100,000, it might benefit the people,” said Lhakpa Tshering Tamang, MP, Sergithang-Tsirang Toed, Tsirang.
In his response, the Finance Minister explained the need for a broader review of the policy citing the programme’s sustainability.
Finance Minister Lekey Dorji, ” We are currently working on it. The government is providing a subsidy so that people can pay Nu 87. Because of this, the government expenses come in the billions. That is why, we see the need to have two insurance companies handling the rural life insurance.”
The finance minister indicated that the government remains committed to supporting rural households.
Karma Samten Wangda
Edited by Tandin Phuntsho
