560,000+ pensioners to be covered by NITF with Rs 500 M in State funds

The National Insurance Trust Fund (NITF) will add over 560,000 retired and retiring state employees to its ‘Agrahara’ insurance policy scheme by the end of this year with Rs 500 million in State funding. Speaking to Ceylon FT on the sidelines of the partnership agreement ceremony between NITF and Lanka Hospitals PLC, NITF CEO Sanath C De Silva said that the Government had allocated Rs 50 million in the 2018 Budget to include all pensioners under the scheme.
However, a total of Rs 500 million was needed to fund the programme, he added, and the treasury had hence agreed to provide the balance.

In the first phase, NITF will include pensioners retired from 2016 onwards in the scheme, with the intent to include all retired State employees by the end of this year.

De Silva revealed that NITF’s profits declined by 58 per cent to Rs 1.3 billion from Rs 3.1 billion in 2016 due to settlements of over Rs 4.2 billion in drought- and flood-related disaster claims. However, he asserted that NITF still remains the 4th-largest contributor to the treasury.

De Silva revealed that NITF had settled Rs 2.6 billion worth of claims during 2017 for Agrahara insurance policyholders, despite a shortfall of Rs 600 million between premium income and claims paid. 0.9 million State employees and 10 per cent of the country’s population enjoy the benefits of the Agrahara insurance policy scheme, according to De Silva.

NITF is also in the process of expanding the benefits of the scheme with the introduction of Silver and Gold policies. De Silva noted that 250,000-300,000 state employees have already joined new policies for extended benefits. The current monthly premium amounts to Rs 125, while Silver and Gold monthly premiums are at Rs 300 and Rs 600, respectively.

Lanka Hospitals PLC signed an agreement with NITF to become the first hospital in the country to offer special fixed rates on all Cardiac Care packages for public-sector employees.

However, a total of Rs 500 million was needed to fund the programme, he added, and the treasury had hence agreed to provide the balance.

In the first phase, NITF will include pensioners retired from 2016 onwards in the scheme, with the intent to include all retired State employees by the end of this year.
De Silva revealed that NITF’s profits declined by 58 per cent to Rs 1.3 billion from Rs 3.1 billion in 2016 due to settlements of over Rs 4.2 billion in drought- and flood-related disaster claims. However, he asserted that NITF still remains the 4th-largest contributor to the treasury.

De Silva revealed that NITF had settled Rs 2.6 billion worth of claims during 2017 for Agrahara insurance policyholders, despite a shortfall of Rs 600 million between premium income and claims paid. 0.9 million State employees and 10 per cent of the country’s population enjoy the benefits of the Agrahara insurance policy scheme, according
to De Silva.

NITF is also in the process of expanding the benefits of the scheme with the introduction of Silver and Gold policies. De Silva noted that 250,000-300,000 state employees have already joined new policies for extended benefits. The current monthly premium amounts to Rs 125, while Silver and Gold monthly premiums are at Rs 300 and Rs 600, respectively.
Lanka Hospitals PLC signed an agreement with NITF to become the first hospital in the country to offer special fixed rates on all Cardiac Care packages for public-sector employees.(NF)