Page 91 - IC23 life insurance application

b) A Uniform cover of Rs.65,000/- to Rs.2,00,000/- depending upon the size of the

group can be offered to all employees by an employer. However, a graded cover

can also be offered subject to a maximum of Rs.2,50,000/-

c) Group Insurance Scheme to cover housing loan is offered to employees of

reputed employers who regularly advance loans to their employees for house

building purpose and the loans are sanctioned according to certain set of rules.

Here, the maximum cover can go upto Rs.8.00 lacs for a group with a

membership of over 100.

d) For Group Insurance Scheme covering vehicles loans initial cover shall be equal

to the loan advanced or Rs.1,75,000 whichever is less.

e) Non Employer Employee Group: Group Insurance covering housing loans

granted through Apex Society with minimum membership of 50 and maximum

cover of Rs.5 lacs with free cover limit of Rs.4.25 lacs.

f) Non-Conventional Scheme Any voluntary association such as members following

the same skill or trade or professionals such as Doctors, Lawyers, Chartered

Accountants etc. can take out a group policy for the benefit of its members with

maximum cover of Rs.2.0 lacs per member.

GROUP LEAVE ENCASHMENT SCHEME

The Council of the Institute of Chartered Accountants of India have issued

Accounting Standard (AS-15) relating to the Accounting for Retirement Benefits in

the Financial Statements of the Companies. It has thus, become necessary for the

companies to ascertain their various types of accrued liabilities on an appropriate

basis and provide for the same in the books by debiting to the Profit & Loss Account

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