The Chairman / Managing Director
All Indian Scheduled Commercial Banks
(Excluding RRBs)

Please refer to Para 8 of our Master Circular on SGSY RPCD.SP.BC. 14/09.01.01/2001-02 dated 17 August 2001 and Para 4.36 of the SGSY guidelines issued by the Government of India.

2. Government of India have since clarified that for availing Group Insurance coverage by the SGSY Swarozgaris, the maximum age of Swarozgaris at the time of sanction of loan has to be kept at 60 years. The insurance coverage, however, would be for five years or till the loan is repaid, whichever is earlier, irrespective of the age of Swarozgaris at the time of sanction of loan.

3. You are advised to issue suitable instructions to your controlling offices and branches in this regard.

Please acknowledge receipt.

Yours faithfully

Sd/-