Retirees to get speedy payment under insurance scheme: Government

The Finance Ministry on Tuesday said it has eased norms for speedy payment to retiring central government employees under the Savings Fund of Central Government Employee Group Insurance Scheme (CGEGIS).

"In all cases where the service of the retiring central government employees has been verified, payment of the accumulation under CGEGIS will be made without awaiting confirmation of deduction of each monthly subscription of CGEGIS," the ministry said in a statement here.

"This would help in timely payment of accumulations under the Savings Fund of the CGEGIS," it added.

The orders in this regard have been issued by Department of Expenditure, Ministry of Finance on March 17.

Delays often occur in payment of dues to the retiring central government employees as the existing procedure requires confirmation of deduction of each monthly subscription to the scheme.

"The decision is a step towards simplification of procedure as well as to ensure timely payment of savings along with interest under CGEGIS, to the central government employees at the time of retirement," it said.

Under the CGEGIS, 1980, the accumulations under the component of Savings Fund together with interest thereon are payable to the employees on retirement or on cessation of employment with the central government or to their family on death while in service.

--IANS

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