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Social welfare & Empowerment

Aam Aadmi Bima Yojana

The Aam Aadmi Bima Yojana (AABY) is a social security scheme for rural landless households implemented by the Ministry of Labour & Employment, Government of India. The scheme provides insurance coverage to the head of the household or an earning member of the family in the age group of 18 to 59.

Authority

Central

Region

Central Government

Status

Verified 2026

Updated

March 2026

What you get

Life Insurance Coverage: | - Natural death: ₹30,000/- | - Death due to accident: ₹75,000/- | Disability Benefits: | - Total permanent disability (loss of two eyes or two limbs) due to accident: ₹75,000/- | - Partial permanent disability (loss of one eye or one limb) due to accident: ₹37,500/- | Scholarship: | - Two children of the beneficiary studying between 9th to 12th Standard shall receive ₹100/- per month (for each child half yearly – on 1st July and on 1st January, each year). | Annual Premium Amount: ₹200/- per member. | - Subsidy from Social Security Fund (SSF): 50% of the total premium (₹100/-) is subsidized by the Government of India through the Social Security Fund (SSF). - Premium Payment for Rural Landless Households (RLH): The remaining 50% of the premium (₹100/-) is paid by the respective State Government or Union Territory. - Premium Payment for Other Occupational Groups: The remaining 50% of the premium (₹100/-) is covered by a combination of contributions from the Nodal Agency, the Member, and/or the State Government/Union Territory.

Who can apply

The applicant should be aged between 18 and 59 years.; The applicant should normally be the head of the family or an earning member.; The applicant’s family should be categorized as below the poverty line (BPL) or marginally above the poverty line.; The applicant should belong to an identified occupational or vocational group.; The applicant should be part of a rural landless household.

Required Paperwork

  • Aadhaar Card
  • PAN Card
  • Income Certificate
  • Residence Proof (Domicile)

Common Questions

What is the "Aam Aadmi Bima Yojana (AABY)"?

The "Aam Aadmi Bima Yojana (AABY)" is a social security scheme launched by the Government of India to provide life and disability insurance to members of identified occupational groups, rural landless households, and unorganized workers.

Who implements the AABY scheme?

The scheme is implemented by the Life Insurance Corporation (LIC) of India through nodal agencies such as state governments, central ministries, or other institutional arrangements.

What is the age limit for beneficiaries under AABY?

Beneficiaries must be between the ages of 18 and 59 years to be eligible for the scheme.

Who is eligible to apply for AABY?

The head or earning member of a family below the poverty line (BPL) or marginally above the poverty line (APL) in identified occupational groups or rural landless households is eligible to apply.

What benefits does AABY provide in case of natural death?

In case of natural death, AABY provides an insurance cover of [?]30,000/- to the nominee of the deceased.

What benefits are provided under AABY for disability?

The scheme offers [?]75,000/- for total permanent disability and [?]37,500/- for partial permanent disability due to an accident.

What is the scholarship benefit under AABY?

Two children of the insured, studying in grades 9 to 12, are eligible for a scholarship of [?]100 per month, payable half-yearly.

How are claims processed under AABY?

Claims are processed by LIC and are directly transferred to the beneficiary's bank account via NEFT or other approved modes after verification by the nodal agency.

What documents are required for accident claims?

Accident claims require additional documents, including a copy of the FIR, Post Mortem Report, Police Inquest Report, and Police Final Report or Conclusion Report.

When are scholarships disbursed under AABY?

Scholarships are disbursed twice a year, on 1st July and 1st January, directly to the bank accounts of eligible students through NEFT.