Deposit Linked Insurance Scheme

 DLI   - Deposit Linked Insurance Scheme

• DLI stands for Deposit Linked Insurance  

 

• Introduced w.e.f.,  08.01.1975 

 

• Object: 1. To provide extra social security to the families of subscribers to SRPF  2. A positive incentive to Railway employees who save more (in their PF Account) 

 

• Payment of Premium is not required. 

 

• Minimum qualifying balance is as follows: 

Grade Pay	Minimum qualifying balance in the last 36 months at the credit of the PF account of the deceased employee.
Grade Pay 4800 and above	Rs. 25000
Grade Pay 4200 to Grade Pay 4800	Rs. 15000
Grade Pay 1400 to Grade Pay 4200	Rs. 10000
Grade Pay 1300	Rs. 6000

• Payment: The minimum balance available in PF account during the last 36 months subject to the ceiling limit of Rs. 60,000 will be paid to the heir of deceased employee. 

Example 1: Mr A whose Grade Pay is 4200 died on 05.01.2022.  His minimum balance in PF account during the last 36 months prior to January, 2022 is Rs. 16000.  So DLI payment to the heir of Mr A is Rs. 16000 

Example 2: Mr B whose Grade Pay is 1300 died on 05.01.2022.  His minimum balance in PF account during the last 36 months prior to January, 2022 is Rs. 5900.  Since the minimum balance i.e Rs.5900 is less than minimum required is Rs.6000, the heir of Mr B is not eligible for DLI.  

Example 3: Mr C whose Grade Pay is 4800 died on 05.01.2022.  His minimum balance in PF account during the last 36 months prior to January, 2022 is Rs. 72000.  So DLI payment to the heir of Mr C is Rs.60000 which is maximum under DLI scheme. 

Material for MCQ

1. Maximum DLI to be paid is Rs.60000

2. Payment of DLI is minimum balance in last 36 months subject to maximum of Rs.60000

3. Qualifying period is 36 months

4. DLI stands for Deposit Linked Insurance

5. Introduced in the year 1975 

6. Applicable to the SRPF subscribers only

  —-end—-