Employees' State Insurance Corporation (General Provident Fund) Rules, 1995
23. Deposit-linked
Insurance Scheme
On the death of a subscriber on or before 30th September, 1991
and to whom rule 24 does not apply, the person entitled to receive the amount
standing to the credit of the subscriber shall be paid by the accounts officer
an additional amount equal to the average balance in the account during the 3
years immediately preceding the death of such subscriber subject to the
condition that-
(a) the balance at the credit of such subscriber shall not at
any time during the three years preceding the month of death have fallen below
the limits of-
(i) Rs. 4,000 in the case of a subscriber who has held for the
greater part of the aforesaid period of three years, a post the maximum of the
pay scale of which Rs. 1,300 or more in the
pre-revised scale,.
(ii) Rs. 2,500 in
the case of a subscriber who has held, for the greater part of the aforesaid
period of three years, a post the maximum of the pay scale of which is Rs. 900 or more but less than Rs.
1,300 in the pre-revised scale;
(iii) Rs. 1,500 in
the case of a subscriber who has held, for the greater part of the aforesaid
period of three years, a post the maximum of the pay scale of which is Rs. 291 or more but less than Rs.
900 in the pre-revised scale;
(iv) Rs. 1,000 in
the case of a subscriber who has held, for the greater part of the aforesaid
period of three years, a post the maximum of the pay scale of which is less
than Rs. 291 in the pre-revised scale.
(b) the additional amount payable under this rule shall not
exceed Rs. 10,000/-;
(c) the subscriber has put in at least five years' service at
the time of his death.
Note 1: The average balance shall be worked out on
the basis of the balance at the credit of the subscriber at the end of each of
the 36 months preceding the month in which the death occurs. For this purpose,
as also for checking the minimum balances prescribed above:
(a) the balance at the end of March shall include the annual
interest credited in terms of rule 13;
(b) if the last of the aforesaid 36 months is not March, the
balance at the end of the said last month shall include interest in respect of
the period from the beginning of the financial year in which death occurs, to
the end of the said last month.
Note 2: Payments under this scheme should be in whole
rupee. If an amount due includes a fraction of a rupee it should be rounded to
the nearest rupee (50 paise counting as the next
higher rupee).
Note 3: Any sum payable under this scheme is in the
nature of insurance money and, therefore, the statutory protection given by
section 3 of the Provident Funds Act, 1925 (19 of 1925), does not apply to sums
payable under this scheme.
Note 4 : This scheme also applies to those subscribers
to the fund who are transferred to an autonomous organization consequent upon
conversion of a government department into such a body and who, on such
transfer, opt, in terms of option given to them, to subscribe to this fund in
accordance with these rules.
Note 5:
(a) In case of a government servant who has been admitted to the
benefit of the fund under rule 26 or 27, but dies before completion of three
years' service, or as the case may be, five years service from the date of his
admission to the fund, that period of his service under the previous employer
in respect whereof the amount of his subscriptions and the employer's
contribution, if any, together with interest have been received, shall count
for purposes of clause (a) and clause (c) of this rule.
(b) In case of persons appointed on tenure basis and in the case
of re-employed pensioners, service rendered from the date of such appointment
or re-employment, as the case may be, only will count for purpose of this rule.
(c) The scheme does not apply to persons appointed on contract basis.
Note 6 : The budget estimates of expenditure in respect of this scheme will be prepared by the accounts officer responsible for maintenance of the accounts of the fund having regard to the trend of expenditure, in the same manner as estimates are prepared for other retirement benefits.
