Ensure proposed insurance company benefits rural sector, Centre urged

Taking note of Union Home Minister Amit Shah’s announcement that the Government of India will facilitate the establishment of a life insurance company in the cooperative sector, a group of former senior bankers, teachers and economic officers from among the alumni of SCD Government College has appealed to the Centre to ensure that the proposed venture ultimately benefits the rural sector.

Brij Bhushan Goyal, a retired banker, said, “India’s cooperative movement began with the Co-operative Credit Societies Act, 1904, aimed at strengthening farmers through mutual support and collective ownership. The proposed Cooperative Life Insurance Company, following the Bharat Taxi Cooperative initiative, represents an important expansion of this model beyond its traditional rural credit framework.”

KB Singh, former Deputy General Manager and senior economic officer of a bank, said, “The proposed Cooperative Life Insurance Company is a good idea. However, it should be ensured that the premium under the scheme is capped so that it remains affordable for people at the last mile who need insurance coverage.”