Pranab Mukherjee distributes first batch of LIC-Aadhaar UID Cards in West Bengal

08-Feb-2011
Source : India Infoline News Service
Union Finance Minister Pranab Mukherjee launched the LIC-Aadhaar Project of Life Insurance Corporation of India (LIC) at Raghunathganj under Jangipur Sub Division of Murshidabad District West Bengal. LIC-Aadhaar Project is the implementation of UID Project of the Unique Identification Authority of India (UIDAI) wherein LIC is delivering Unique 12-digit Identity – “Aadhaar” Numbers to the Indian residents.
The LIC-Aadhaar Cards were distributed to the Residents of Jangipur by the Honorable Union Finance Minister Sri Pranab Mukherjee, in the presence of T S Vijayan,  Chairman LIC,  R S Sharma, Director General & Mission Director, UIDAI, , A. K. Dasgupta Managing Director LIC, Sri R R Dash Zonal Manager, LIC,  Eastern Zone, Kolkata,  and B Venugopal, Executive Director (IT/SD), LIC. The dignitaries included honorable Members of Parliament as well as Legislative Assembly. LIC is the first registrar of the UID Project to hand over these cards.
LIC of India became the first Institutional Partner of the Unique Identification Authority of India (UIDAI) by signing an MoU with UIDAI on 9th June, 2010.
Aadhaar is envisioned as a number that will make it possible for Indian residents to easily establish their identity in order to facilitate their interaction with the various public and private agencies across the country. The Aadhaar is based on Demographic and Biometric Data i.e. photograph, fingerprints (10), and iris scan, hence, no duplicates can creep into the system.
LIC, the largest life insurance institution in the world with more than 21 crore unique customers (holding more than 27 crore policies), had partnered with the UIDAI as a registrar for issuing a national identity to the Indian resident – Aadhaar. LIC has used its robust and efficient Information Technology infrastructure to ensure speedy dissemination of the UID cards.
This is seen as another mammoth step undertaken by LIC in its efforts to give back to society through its numerous Corporate Social Responsibility initiatives. LIC had entered into this partnership with the aim of providing greater value to its customers and to ensure that the benefits of insurance reach every Indian. This partnership guarantees the inclusion of all eligible sections for social welfare schemes.
LIC already has a Data Warehouse consisting of the complete details of all its customers. Using its own customer id generated from the Data Warehouse, LIC has implemented many customer Relationship Management initiatives over last 6 years. Using the strong foundation of the Aadhaar Number, and the Financial Inclusion infrastructure, LIC hopes to boost the administration of various Social Security Schemes it manages on behalf of the Government of India.

UID will replace PF A/C Number

The EPFO plans to replace the PF a/c number with UID number so that it will help subscribers to to transfer thier accounts to new employers quickly & also without hassles. They could then be able to access their account online. At present it takes months together for the account to get transferred & hence most of the employees either close their accounts or go in for fresh accounts with the new employer. This replacement of PF a/c number with UID is expected to happen by March 2012 when all the branches of EPFO are inter-connected.
In a pilot study conducted at EPFO’s Karnal office, it was found that over 30.2 per cent of subscribers withdraw their PF within a year of joining service while 54.3 per cent do so by the end of the second year.
EPFO having a subscribers’ base of about 4.7 crore, processes over 60 lakh claims every year. It manages about Rs. three lakh crore of funds and receives an incremental deposit of over Rs.25000 crore every year.

There is also a proposal (though in a very initial stage) to prevent subscribers from withdrawal from PF before retirement so as to ensure social security to the working class compulsorily. This is in fact the right move so that it ensures that the vast majority of the population now in their early 30s will not become a liability to the nation without proper provision for retirement.