Group Insurance Scheme – 1984 – Revised Rate of Interest on Savings Period from 01.04.2015 to31.03.2016 – Revised Tables – Orders – Issued.

                    GOVERNMENT OF ANDHRA PRADESH

                                                                       ABSTRACT

PUBLIC SERVICES – Employees Welfare Scheme – Andhra Pradesh State Employees Group Insurance Scheme – 1984 – Revised Rate of Interest on accumulated Savings FundCommunication of Tables of Benefits for Savings Fund for the Period from 01.04.2015 to31.03.2016 – Revised Tables – Orders – Issued.

-------------------------------------------------------------------------------------------------

FINANCE (ADMN.II) DEPARTMENT

G. O. Ms. No. 99                                                            Dated: 06-08-2015

Read the following:

1.   G. O. Ms. No. 293, Finance & Planning (FW. Accts.II) Dept., dated: 08.10.1984.

2.   G. O. Ms. No. 312, Finance & Planning (FW.Admn.II) Dept., dated: 06.11.1984.

3.   G. O. Ms. No. 367, Finance & Planning (FW.Admn.II) Dept., dated: 15.11.1994.

4.   G. O. Ms. No. 381, Finance & Planning (FW.Admn.II) Dept., dated: 05.12.1994.

5.   G. O. Ms. No. 382, Finance & Planning (FW.Admn.II) Dept., dated: 05.12.1994.

6.   G. O. Ms. No. 54, Finance (Admn.II) Department, dated: 06.04.2011.

7.   G. O. Rt. No. 2425, Finance (Pen.II) Department, dated: 10.05.2012.

8.   G. O. Ms. No. 148, Finance (Admn.II) Department, dated: 06.06.2012.

9.   G. O. Rt. No. 2735, Finance (Pen.II) Department, date: 16.06.2012.

10. Government of India Office Memorandum No. 7(2)EV/2012 Ministry of

       FinanceDepartment of Expenditure, dated: 15.01.2013.

11. Dy. Accountant General (Funds) O/O the Principal Accountant General

(A & E),A. P., Hyderabad FM/ GI.II/9-3/2013 – 14/109, dated: 25.04.2013.

12. G. O. Rt. No. 2142, Finance (Pen.II) Department, dated: 30.04.2013.

13. Director of Insurance, Letter No. 2/GIS-I/Tables/2013 – 2014,

      dated: 17.04.2013 and 09.05.2013.

14. G. O. Ms. No. 126, Finance (Admn.II) Department, dated: 29.05.2013.

15. Director of Insurance, Letter No. 2/GIS-I/Tables/2014 – 2015,

      dated: 01.04.2014

  16. G.O. Ms. No. 90, Finance (Admn-II) Department, dt: 01-05-14

17. No. 07 (1) E/014, dated: 22-01-2015 of the Director, Government of

        India, Ministry of Finance, Department of Expenditure, New Delhi.

  18. Lr. No. 02/GIS-I/Tables/2015-16, Dt: 24-06-2015 of the Directorate

of Insurance, A.P. Hyderabad.

******

O R D E R:

In the reference 1^stread above orders were issued introducing Group Insurance Scheme to the State Government Employees in place of Family Benefit Scheme with effectfrom 01.11.1984. According to Para 9 of the reference 1^st read above, the accumulations of SavingsFund part and Insurance Fund part shall carry interest at the rates prescribed by Government from time to time.

2.       In the reference 2^nd  read above, orders were issued for apportioning the subscriptionof each unit of Rs. 10/- between Insurance Fund and Savings Fund in the ratio of Rs. 3.125/-and Rs. 6.875/- respectively.

3.       In terms of the recommendation of the Committee constituted to review the workingof the Andhra Pradesh State Employees Group Insurance Scheme in Government orders 3^rd above orders were issued for revision of rate of subscription each unit from Rs. 10/- toRs. 15/- with effect from 01.11.1994. In modification of the Para 9 of the Government orders 1^stread above, orders were issued in Government orders 4^thread above, for fixing the intereston the accumulations of the Savings Fund of the Member of the Scheme for the State as awhole and shall be paid at the Rate of 12 % per annum compounded Quarterly with effect from 01.11.1994. Further, in the Government orders 5^thread above, the apportionment of the subscription of each unit Rs. 15/- between Insurance Fund and Savings Fund was fixed in the ratio of Rs.4.50/- and Rs. 10.50/- respectively with effect from 01.11.1994. The amount of insurance coverage will beRs. 15,000/- for each unit of subscription.

4.       The rate of interest on accumulations of Savings Fund of the Member of the Schemeand the interest on the Insurance Fund from time to time is as follows:

Financial Year	Rate of Interest	Government Order
11 / 1984 to 10 / 1994	10 %	G.O.Ms.No.293,Finance & Planning (FW. Accts.II)Department, dated : 08.10.1984
11 / 1994 to 03 / 2000	12 %	G. O. Ms. No. 381, Finance & Planning (FW.Admn.II)Department, dated : 05.12.1994
01.04.2000 to 31.03.2001	11 %	G. O. Ms. No. 63, Finance & Planning (FW.Pen.II)Department, dated : 06.06.2000
01.04.2001 to 31.03.2002	9.5 %	G. O. Ms. No. 345, Finance & Planning (FW.Pen.II)Department, dated : 07.07.2001
01.04.2002 to 31.10.2004	9 %	G. O. Ms. No. 703, Finance & Planning (FW.Pen.II)Department, dated : 19.07.2002
01.11.2004 to 30.11.2011	8 %	G. O. Ms. No. 625, Finance & Planning (FW.Pen.II)Department, dated : 02.09.2004
01.12.2011 to 31.03.2012	8.6 %	G. O. Rt. No. 2425, Finance (Pen.II) Department, dated : 10.05.2012
01.04.2012 to 31.03.2013	8.8 %	G. O. Rt. No. 2735, Finance (Pen.II) Department, dated : 16.06.2012
01.04.2013 to 31.03.2014	8.7 %	G. O. Rt. No. 2142, Finance (Pen.II) Department, dated : 30.04.2013

5.       In the reference 14^th read above, Government has issued orders to reduce the rate of interest from 8.8 % to 8.7 % per annum with effect from 01.04.2014 on the Provident Fundsand other similar funds i.e., Andhra Pradesh Government Life Insurance Funds maintainedby the Government of Andhra Pradesh on par with rates of Government of India until furtherorders.

6.       In view of the above circumstances and after careful examination of the matter,Government hereby order that the revised rates of interest on the Andhra Pradesh Group Insurance Savings Fundsshall be allowed at 8.7 % per annum from 01.04.2015 onwards. The Tables are revisedand issued for the period covering from 01.04.2015 to 31.03.2016. The revised tables ofbenefits I, II and III, III (A) to III (U) on Savings Fund of Andhra Pradesh State EmployeesGroup Insurance Scheme – 1984 on cessation of membership during the period from01.04.2015 to 31.03.2016are appended herewith for making payments under the Scheme.

7.       These orders and Tables shall come in force with effect from 01.04.2015.

8.       The Sanctioning Authorities / Drawing and Disbursement Officers / Treasury Officers/ District Audit Officers / Pay and Accounts Officers / Director of Works Accounts arerequested to keep in view of the appended Table while sanctioning and making the finalpayments under Group Insurance Scheme for proper implementation of the Scheme. Further,the following instructions shall also be scrupulously followed:

1.   The Head of the Department / Drawing and Disbursement Officer shall be held responsible for sanctioning the Group Insurance Scheme final payments.If any excess payments are found, the difference amount shall be collectedfrom the sanctioning authority and such Officers are liable for disciplinaryaction.

2.   The Drawing and Disbursement Officer shall recover the correct rate ofsubscription according to the eligible group of the employees. For anyexcess / less recovery, the Drawing and Disbursement Officerconcerned shall be heldresponsible.

3.   The Director of Insurance (FAC), Andhra Pradesh, Hyderabad shall conduct a regularAudit of all claims paid under Group Insurance Scheme and send a report tothe Head of the Department concerned.

4.   The Head of the Department concerned shall take action against the erringofficials who are responsible for the excess / less recoveries wherever theyare detected.

5.   Any excess payment made, if found during the Audit by the Directorate ofInsurance, the same shall be immediately recovered from the concerned andremitted through Challan to the concerned Head of Account by the Drawingand Disbursement Officer and the fact of remittance shall invariably becommunicated to the Directorate of Insurance.

6.   If an employee’s subscription is not recovered during his Service Period, thetotal subscription along with interest shall be recovered from the paymentsadmissible to him.

7.   All the Heads of Offices should take prompt action for recording thenecessary subscription entries in the Service Registers of the employeesunder proper attestation every year at the close of March and a Certificateshall be recorded in the Service Book of each employee that subscription tothe Scheme at the appropriate rates have been recovered for the period fromApril to March. The entries shall be attested by the Drawing and DisbursingOfficer.

8.   As per G. O. Ms. No. 910, Finance (Admn.II) Department, dated: 28.10.2002.“Sanctioning authority shall send a copy of sanction orders of the GroupInsurance Scheme Payment including calculation slip to the Directorateof Insurance for verification”.

9.       The Director of Insurance (FAC) is further advised to obtain the revised rates of interest from the Government of India and submit the proposals to the Government in advance everyyear so as to issue orders in time.

10.     The Director of Insurance (FAC), Andhra Pradesh, Hyderabad shall take further necessaryaction in the matter accordingly.

(BY ORDER AND IN THE NAME OF THE GOVERNOR OF ANDHRA PRADESH)

                                                               K. SUNITHA

                                      SECRETARY TO GOVERNMENT (B&A)

To

The Principal Accountant General (Audit – I), Andhra Pradesh, Hyderabad

(20 Copies).

The Principal Accountant General (Audit – II), Andhra Pradesh, Hyderabad

(20 Copies).

The Accountant General (A & E), Andhra Pradesh, Hyderabad (By Name).

The Director of Insurance, Andhra Pradesh, Hyderabad (200 Copies).

The Director of Treasuries and Accounts, Andhra Pradesh, Hyderabad.

The Director of State Audit, Andhra Pradesh, Hyderabad.

The Pay and Accounts Officer, Andhra Pradesh, Hyderabad.