Upto 50 per cent of the premium of the Group Insurance Schemes are financed by various state governments and nodal agencies. At present there are 23 approved occupations, wherein the subsidy of 50 per cent premium from the social security fund is available. These include beedi workers, brick-kiln workers, carpenters, cobblers, fishermen, handicraft artisans, pappad workers, physically handicapped self-employed persons, primary milk producers, rickshaw-pullers, safai karmacharis, tendu leaf collectors, women tailors, powerloom workers, forest workers and the urban poor.

The LIC Social Security Insurance Scheme provides cover to the extent of Rs 5000 per member (Rs 25,000) in the event of death due to accident to the deceased's family, while the amount is Rs 25,000 in the event of total permanent disability. The Central government's landless agricultural labourers group insurance scheme provides for a death benefit of Rs 2000 to the family of deceased. Those between 20 and 49 and below the poverty line can avail of the Rural Group Life Insurance Scheme.

While the amount of insurance cover on the life of a person admitted to the scheme is Rs 5000, it is payable to the beneficiary only in the event of death of the insured person. While the insured member has to bear 50 per cent of the premium, the remaining would be borne by the government. The scheme will be administered through the village panchayat and district panchayat.