Navi Mumbai: PMC clears proposal to offer insurance cover to property tax holder

Navi Mumbai: The general body of Panvel Municipal Corporation (PMC) cleared the proposal to provide monetary support through accidental insurance to around 2.5 lakh property holders for paying their taxes on time and regularly under its jurisdiction.

The civic body, which has been facing stiff resistance from residents in the collection of property, has come up with an innovative scheme to increase the tax collection.

The civic body will provide accidental insurance to citizens who will pay property tax on time and regularly. While the civic body will pay the premium, citizens will get up to Rs 6 lakh cover in case of any eventuality. A proposal regarding this was tabled at the general body meet on May 24.

As per the plan, the property tax holder will get insurance cover including husband, wife and two children for upto 30 years. However, there is no age constraint for the girl child. She will get the insurance cover till her marriage. In addition, parents will also get the insurance cover and the disabled children will get the benefit till he gets married.

However, the civic body has put a condition that even if the property tax holder possesses multiple properties, the benefit will be provided for only one property. The civic body expects to pay around Rs 2 crores premium for group insurance cover to benefit around 12 lakh citizens from around 3 lakh property tax holders.

Most importantly, during a year, one or the whole family will get a maximum of Rs 1.25 lakh medical expenses.

While the civic administration refused that the scheme is to attract property holders to increase the collection, there are sections of residents opposing the arbitrary tax collections. A senior civic official said the scheme is not for the citizens to pay property tax but for the welfare of the citizens.