Rule 305 of The General Financial Rules 2017 Postal Life Insurance Premia Register
Original Rule Text
maintain in Form (GFR 20) record of Postal Life Insurance policy (PLI) holders.
Rule 305 (2) The register should be kept upto date, the names of the policy holders should be
noted in alphabetical order according to surnames, leaving sufficient space
between two entries to enable new-comers names being inserted in the right
place.
(i) A separate entry should be made in the
register for each policy in the case of a policy
holder having more than one policy.
(ii) On receipt of an intimation from the Director,
Postal Life Insurance, Kolkata, about the issue
of a policy in favour of a subscriber authorizing
the Drawing Officer to commence recovery
from pay, or on receipt of a Last Pay
Certificate in respect of the subscriber
transferred from another office, the Drawing
Officer should make a note of the particulars
of the policy in the register. The name of the
office from which the subscriber has been
transferred should invariably be noted in the
remarks column. Wherever a subscriber is
transferred to another office or his policy is
discharged, his name should be scored out
from the register giving necessary remarks.
(iii) After the preparation of the monthly pay bill,
the amount of recovery on account of PLI
premium shown in the bill should be posted in
the monthly column in the register with proper
reference to the bills or the vouchers. The fact
of excess or non-recovery should be briefly
noted in the remarks column. Extracts should
be attached to the relevant bills in support of
the recoveries. While taking extracts it should
be seen that the names of those insurants
from whom recoveries were made in previous
months but no recoveries have been made
during the current month either on account of
transfer or discharge of that policy or on
account of leave salary being not drawn or the
official being on leave without pay, should be
included in the current month’s schedule and
necessary remarks noted against their names.
(iv) Similarly, the remarks ‘New Policy’ or
Transferred from
……………………………Office should be
given in the schedule against the names of
insurant entered for the first time in current
month. Reasons for short or excess recovery
should be noted briefly in the remarks column.
In short, schedule of Postal Life Insurance
recoveries to be attached to the bills, would be
a record not only of those from whom the
recovery has actually been affected but also
of those from whom recovery was being
affected previously but has not been affected.
Visual Summary
Drawing officers must maintain a register for PLI policyholders using Form GFR 20.
Policyholder names in the register should be kept up-to-date and in alphabetical order.
Monthly premium recoveries must be posted, and remarks noted for any discrepancies or transfers.
Executive Summary
Rule 305 of the General Financial Rules, 2017 mandates that all drawing officers maintain a detailed register (Form GFR 20) for Postal Life Insurance (PLI) policyholders. This register must be kept up-to-date, with names in alphabetical order, and include separate entries for multiple policies. It requires meticulous recording of policy particulars upon intimation or transfer, and accurate posting of monthly premium recoveries from pay bills, noting any discrepancies. The schedule of PLI recoveries attached to bills serves as a comprehensive record of both actual and previously affected recoveries.
In-Depth Analysis of the Rule
Rule 305 of the General Financial Rules, 2017, outlines the essential procedures for managing Postal Life Insurance (PLI) premium recoveries within government departments. This rule ensures systematic record-keeping and accountability for deductions related to employee insurance policies.
Breakdown of the Rule:
- Mandatory Register: All drawing officers are required to maintain a register in Form GFR 20 specifically for Postal Life Insurance policyholders.
- Register Upkeep: The register must be kept current, with policyholders’ names noted in alphabetical order by surnames. Sufficient space should be left between entries to accommodate new policyholders.
- Individual Policies: For policyholders with more than one PLI policy, a separate entry must be made in the register for each policy.
- Policy Particulars: Upon receiving intimation from the Director, Postal Life Insurance, Kolkata, about a new policy, or a Last Pay Certificate for a transferred subscriber, the Drawing Officer must record the policy particulars in the register. The name of the previous office for transferred subscribers should be noted in the remarks column. When a subscriber is transferred or their policy discharged, their name should be scored out with necessary remarks.
- Monthly Recoveries: After preparing the monthly pay bill, the amount of PLI premium recovery shown in the bill must be posted in the monthly column of the register, with proper reference to the bills or vouchers. Any excess or non-recovery should be briefly noted in the remarks column.
- Schedule Inclusion: Extracts supporting the recoveries should be attached to the relevant bills. The monthly schedule of PLI recoveries attached to bills must include all insurants, even those from whom recoveries were made in previous months but not in the current month (e.g., due to transfer, discharge, or leave without pay), with appropriate remarks.
- New/Transferred Policy Remarks: For insurants entered for the first time in the current month’s schedule, remarks like ‘New Policy’ or ‘Transferred from… Office’ should be provided. Reasons for any short or excess recovery must also be briefly noted.
Practical Example:
Imagine a new government employee, Ms. Sharma, joins a department and has an existing Postal Life Insurance policy. According to Rule 305, the drawing officer of her new department must receive intimation of her PLI policy and record its particulars in Form GFR 20. Ms. Sharma’s name will be added to the register in alphabetical order. Each month, after her pay bill is prepared, the PLI premium deduction will be accurately posted in the register, referencing the bill. If, later, Ms. Sharma transfers to another department, her name will be scored out from the current register with a remark indicating her transfer, ensuring a clear audit trail and proper handover of her PLI record to her new office.
Related Provisions
Understanding Rule 305 is enhanced by examining related provisions that govern financial management and employee benefits:
- Rule 304 of The General Financial Rules 2017 Provident Funds: This rule discusses the procedure for Provident Funds, which are similar in nature to PLI in terms of employee deductions and record-keeping.
- Rule 288 of The General Financial Rules 2017 Service Book: This rule covers the maintenance and verification of service books, which are crucial for recording employee details, including deductions like PLI.
- Rule 295 of The General Financial Rules 2017 Arrear Claims: This rule deals with the settlement of arrear claims for government servants, which might involve adjustments related to past deductions or non-deductions of PLI.
Learning Aids
Mnemonics:
- PLI-RAPS: Policyholders, List In Register, Alphabetical, Post Schedules.
Process Flowchart:
Multiple Choice Questions (MCQs)
1. What form is mandated by Rule 305 of the General Financial Rules, 2017 for maintaining a record of Postal Life Insurance policyholders?
- A) GFR 19
- B) GFR 20
- C) GFR 21
- D) GFR 22
Show Answer
Correct Answer: B) GFR 20
2. According to Rule 305 of the General Financial Rules, 2017, how should policyholder names be organized in the register?
- A) By policy number
- B) By date of issue
- C) Alphabetical order by surnames
- D) By department
Show Answer
Correct Answer: C) Alphabetical order by surnames
3. Under Rule 305 of the General Financial Rules, 2017, what action should a Drawing Officer take upon a policyholder’s transfer to another office?
- A) Create a new policy
- B) Score out the name from the register with remarks
- C) Forward the original register
- D) Stop all premium recoveries immediately
Show Answer
Correct Answer: B) Score out the name from the register with remarks
4. When preparing the monthly pay bill, what must be done with the PLI premium recovery amount as per Rule 305 of the General Financial Rules, 2017?
- A) It should be directly remitted to PLI without recording.
- B) It should be posted in the monthly column of the register with proper reference.
- C) It should only be noted if there is an excess recovery.
- D) It should be sent to the Accounts Officer for verification first.
Show Answer
Correct Answer: B) It should be posted in the monthly column of the register with proper reference.
5. Rule 305 of the General Financial Rules, 2017 states that the monthly schedule of PLI recoveries attached to bills should include:
- A) Only those from whom recovery was made in the current month.
- B) Only new policyholders.
- C) All insurants, including those from whom recovery was previously affected but not in the current month.
- D) Only those on leave without pay.
Show Answer
Correct Answer: C) All insurants, including those from whom recovery was previously affected but not in the current month.
Frequently Asked Questions
What is the primary purpose of the PLI register mentioned in Rule 305 of the General Financial Rules, 2017?
The primary purpose is to maintain a comprehensive and up-to-date record of all Postal Life Insurance policyholders and their premium recoveries, ensuring accountability and proper financial management.
How should discrepancies in PLI premium recoveries be handled under Rule 305 of the General Financial Rules, 2017?
Any excess or non-recovery of PLI premiums must be briefly noted in the remarks column of the register, and extracts should be attached to the relevant bills to support the recoveries.
Key Takeaways
- Mandatory maintenance of PLI policyholder register (GFR 20) by drawing officers.
- Strict adherence to alphabetical order and separate entries for multiple policies.
- Detailed recording of policy particulars, including transfers and discharges.
- Accurate monthly posting of premium recoveries and notation of discrepancies.
Conclusion
Rule 305 of the General Financial Rules, 2017 underscores the importance of meticulous record-keeping for Postal Life Insurance premia. By mandating a structured register and detailed procedures for recording, updating, and reporting, it ensures transparency, accountability, and efficient financial management of employee insurance deductions, contributing to overall financial propriety within government departments.