Modi govt withdraws insurance for healthcare workers on COVID duty, new policy soon, says Health Ministry

At a time when India is grappling with the deadlier second wave of Coronavirus pandemic, the Modi government has decided to cancel the existing insurance scheme of Rs 50 lakh for those healthcare workers who die in the line of COVID-19 duty.

Signed by Union Health Secretary Rajesh Bhushan, a circular citing the end of the scheme was sent to all states on March 24 last month.

Known as the Pradhan Mantri Garib Kalyan Package (PMGKP), the insurance scheme was launched to provide a safety net for healthcare workers who die in the line of COVID-19 duty.

“The PMGKP: insurance scheme for the healthcare workers fighting Covid-19 was implemented with effect from 30 March 2020, initially for a period of 90 days to provide an insurance cover of Rs 50 lakh to the healthcare workers fighting the pandemic, the duration of the scheme was extended up to 24 March 2021,” stated the letter.

The Health Ministry, however, claimed that a new scheme is being formulated and the government is in talks with a new insurance company.

“The claims under the Pradhan Mantri Garib Kalyan Yojana will be settled by the insurance company till the 24th of April 2021,” said the Ministry in a tweet. “Thereafter, a new dispensation will cover the Corona warriors, for which the ministry is in talks with a new insurance company (New India Assurance),” it added.

Announced by Union finance minister Nirmala Sitharaman on March 26, 2020 was first implemented for 90 days and was later extended for a year.

It is worth mentioning here that as per the Indian Medical Association (IMA), at least 736 doctors have died due to the Covid-19 virus but only 287 doctors out of 736 deceased have been given Rs 50 lakhs so far.

The government has not released official data on the healthcare workers who died in the line of duty during the coronavirus pandemic last year.