Government employees who newly join the service must remit the premiums from the launch date of the medical insurance for State government employees and pensioners (MEDISEP) to enjoy full coverage under the scheme, according to the Finance department.
A January 16 department order noted that, in the case of new employees, the ‘arrears on premium’ from July 1, 2022, will be deducted in equal installments from their first salary onwards. This is because they can be eligible for full benefits under MEDISEP, including the ‘catastrophic package’ for organ transplants, only on remitting ₹18,000, the premiums for three full years, the order said.
Under the agreement signed by the Government and Oriental Insurance Company, MEDISEP was designed as a three-year scheme lasting from July 1, 2022 to June 30, 2025. This period has been divided into three policy years. For instance, July 1, 2022 to June 30, 2023 is the first policy year. The government remits the annual premiums (of employees including new appointments and pensioners) in advance to the insurance company on a quarterly basis. The monthly premium is ₹500.
As per the latest order, the arrears on premium dating from July 1, 2022, of employees who join in the second and third policy years will be deducted in equal installments from their first salary onwards.
In June, 2022, the Finance department had noted in an order that, “newly appointed employees who joined service during the policy period of three years shall join the scheme by remitting the premium from the month of joining and can avail ₹1.50 lakh per annum as basic sum insured.” They can get enrolled either by paying the full-year premium for a particular year and avail the benefit package in total or join the scheme in the subsequent year.
Decisions as per the January 16 order are applicable to aided school/college employees whose appointments get approval with retrospective effect within the policy period. In the case of an employee who went on leave without allowance before the start of the scheme, the arrears on premium will be deducted, either in installments or in full, from the first salary once he rejoins duty.
