News Details

JBC to bring fishermen under insurance coverage from Aug


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Sonia H Moni
The state-run Jiban Bima Corporation (JBC) will start to bringing coastal fishermen under insurance coverage at the end of August this year, officials said.

"Initially we will bring around 15,000 fishermen under the insurance coverage, which is known as community-based insurance programme, and gradually we will include 2.0 million fishermen," JBC managing director Parikshit Datta Choudhury told the FE.

Around 2.0 million fishermen mainly live in 17 costal districts including Cox's Bazar, Chittagong, Laxmipur, Bhola, Borguna, Potuakhali, Barisal and Chandpur.

He said: "This is first initiative for the costal fishermen as insurance companies have not targeted the vulnerable community yet. A fisherman usually takes money at high interest rate form the money lenders to go for fishing and if he faces unnatural death then his family finds it difficult to survive."

"The programme is designed to restore the livelihoods of the families of dead fishermen and permanent disabled fishermen due to accidents, boat capsize, storm, and tidal-surge or attacked by pirates," Mr Choudhury said.

Under the life insurance policy, the corporation will provide Tk 0.1 million for normal death, accidental death and as disability benefit. The family will get Tk 0.2 million for absentee and Tk 50,000 for partial disability, the JBC MD added.

A fisherman will pay Tk 6.20 against Tk 1000 which means one fisherman will pay Tk 620 per year against the missing insurance coverage worth Tk 100,000.

He said these fishermen are not solvent. So, buying personal insurance policy is not possible for them. That's why we have decided to bring them under the group insurance on payment of small premiums.

Mr Choudhury said the introduction of micro-insurance for fishermen in coastal areas would prevent the distressed families from losing their assets to pay off debt of Mahajans.

He said a group comprising 25 to 50 members with the limit from 18 to 55 years would come under the insurance coverage.

Mr Choudhury said initially Chittagong division would be selected as a pilot project.

"We will launch a three-year programme with financial support from donors. But afterwards, we'll ask foreign countries and the government to fund it under its social safety net programme," the JBC chief said.

He also added that if the scheme is successfully implemented we will be able to earn around Tk 300 million as the first year premium.

JBC officials said fishermen's co-operative societies may be formed with the assistance of Department of Fisheries, Department of Cooperatives and Local Government authority.

The zonal offices of JBC in coastal districts will coordinate and give necessary support to the fishermen's groups, they added.


[ Stock & Corporate ] 2012-07-20