J&K governor approves health insurance scheme for employees and pensioners

The Jammu and Kashmir governor approved a health insurance scheme for its employees and pensioners based on “trust model”. This was approved at the meeting of the State Administrative Council (SAC) chaired by Governor Satya Pal Malik. Under this model, a trust will be set up by the state government which would design appropriate insurance product and offer it to designated beneficiaries, an official spokesperson said.

On October 27 last year, the Governor had ordered foreclosure of the contract with Reliance General Insurance for implementing the group mediclaim health insurance for state employees and asked the Anti-Corruption Bureau (ACB) to probe the matter after it sparked a row.

After the scrapping of the previous medical claim policy, the state government constituted a committee of officers headed by principal secretary, Health and Medical Education, to examine the possibility of operating the health insurance scheme through third party administrator (TPA) by dispensing with the insurer and intermediary.

“The SAC considered the options or models suggested by the ‘committee of officers’ vis-a-vis advantages-disadvantages of each model. After considering the feasibility of various models and their merits, the SAC approved the trust model,” he said.

The spokesperson said the administration of the scheme, including the collection of premia, enrolment of the insured, settlement of claims, will be with the said trust.