LIC Pensioners Demand Letter in 2019
All India Insurance Pensioners Association
President : Ashok Tiwari
Date : 16th February 2019
General Secretary : T K Chakraborty
Cir No : 2/2019
All Divisional/Regional/State units of AIIPA
DISCUSSIONS WITH LIC
AIIPA Delegation, consisting of Coms.M.L.Setiya and K.Natarajan, Vice-Presidents, Com.T.K.Chakraborty, General Secretary and Com.Bhaskar Somayaji, Joint Secretary, met the LIC officials, viz., Shri. Sharad Shrivastav, Executive Director [Per], Shri. Mukesh Kumar Gupta, Addl. Executive Director [Per], Shri. G.S.Wanwar, Chief[Pers] and Smt. Aruna Seth, Secretary[ER] on 13th February 2019 and discussed the issues of LIC Pensioners, lasting for two hours, covering wide range of issues.
Reacting to the submissions of AIIPA, the general refrain of the LIC Officials was, that to consider the demands, funds were needed and there were restraints and constraints in that and also that they were being advised by the Government not to refer to the pensionary benefits of the Central Government pensioners and that LIC Pension Rules and Central Civil Pension Rules were different and the service conditions also vary.
Refuting the contentions of the LIC Officials, the AIIPA said that, while there has been improvements in the Pension Rules in Central Government and RBI over the years, there has been no improvements in Pension Rules in the last 23 years in LIC and also reiterated that LIC Pension Rules, 1995 were formulated on the basis of Central Civil Pension Rules (1972), only, as the Scheme itself makes it clear and note to the LIC Board Resolution in November, 2001, specifically noted this point. AIIPA also told, the demands of the AIIPA are fully justified and very genuine and it is time the same are considered without delay and said that acceptance of the demands will not be big financial burden on the LIC and the same could be absorbed over a period of time, with the increase in its income and juxtaposing the interest of the policy holders with that of the pensioners was not correct.
On Family Pension @ 30% uniformly for all, as in central government, AIIPA told the management that with 15% as family pension, the family pensioners were finding it difficult to eke out their living and 30% was the necessity. LIC quoting the Government said it was difficult to consider, on cost implication and as two schemes were different. However AIIPA insisted on the issue and wanted early solution. AIIPA raised the issue of enhancement of age to 67 for payment of double family pension and LIC was agreeable to consider this only. AIIPA insisted on both.
On some of the issues like full pension for completion of twenty years of service, Officials said that, if accepted, this would lead many opting for VRS, to which AIIPA countered that there were Agents recruited as Development Officers, on superannuation, would not have put in 33 years of service and similarly people with special qualification recruited after age relaxation, would also have not put in 33 years of service to be eligible for full pension and hence this issue has to reconsidered by LIC. On our demand for increase in minimum pension as in central govt. they were not ready to consider the same. On the issue of last drawn salary for computation of pension wherever beneficial, they were not committing on the plea of cost constraint.
According to LIC, if option for entry into Group Mediclaim Scheme was extended, the composition of the age group would undergo change, with elderly pensioners opting for inclusion, resulting in heavy loading of premium etc., and hence they were still working on it. As the increases in the compulsory sum insured were done recently, they wanted to wait for some more time and on 100% subsidy in premium, they expressed that it’s again a question of financial commitment, which they would not like to undertake now. On the issue of monthly Cash medical allowance, AIIPA wanted the LIC to keep up its commitment and they informed that there were no notings/records available on the commitment of the previous Chairman and also told that it was not possible to consider now. For inclusion of Dental treatment and Hearing Aid, Insurers, while putting a cap on the amount of claim, say Rs.6000 per family, wanted premium to go up by as much as 15%, the Officials informed. On grant of ex-gratia for high cost treatment, they said the scheme was available to employees only and the same could not be extended to the pensioners. On option to the family pensioners for reduction in the optional Sum Insured, in case of death of the pensioners during mid-year, they would consider the same and as for the inclusion of the parents and parents-in-law, they would not commit anything.
When it was pointed out by the AIIPA that in some cases, the TPA was disallowing heavy amount from the claim on the ground that that the medical procedure done by the hospital was not required and the pensioner has no choice or say over the medical treatment and the medicines prescribed by the Doctor or hospital, to which the Officials said that LIC Group Mediclaim policy vary from that of others and assured that if such instances are brought to the notice of the Secretary[E.R.] @ Central Office, they would be attended to immediately and further said, Nodal Officers @ D.O/Z.O have been designated to help the pensioners.
The Officials informed that Central Office has issued instructions to the Pension Disbursing Offices to ensure pension is credited to the bank account of the pensioners enabling the pensioners to draw their pension on the first of the month through ATM etc. and this has to be pursued further.
While concurring with the AIIPA that the amount of ex-gratia paid to the pre-1.1.1986 retirees was too meagre and urgently need to be enhanced, the Officials were non-committal.
On extension of group insurance cover to all pensioners, LIC was hesitant to consider.
Pensioners’ Portal is ready and will be launched very shortly and it will have all the relevant information/circulars for the pensioners and each pensioner will be allowed to access it with a password and right now, no provision is available for the personal data of the pensioners and for the pensioners to submit existence certificate etc.
Throughout the discussions, the vein was not conducive for finding solutions. BUT AIIPA WILL CONTINUE TO PURSUE THE ISSUES OF THE LIC PENSIONERS AND STRIVE HARD TO RESOLVE THEM.
( T K CHAKRABORTY)