Q1.What are the criteria to become a member of the family benefit scheme?
Ans.Must be a Life Member or an Associate Life Member of IAP, 25 years age and must not have crossed the age of 60 years on the date of payment of the relevant fees for enrolment in the Scheme by Demand Draft/Cheque.
Q2.What is the likely Death Fraternity Contribution & also any other charges to be paid by each enrolled member?
Ans.Death Fraternity Contribution will be Rs.450/- (Rs. 350/-per member per death + A Future Liability Fund 22% of the FC (i.e 22 % of Rs. 450/- becomes Rs. 100/-) and an administrative fee of Rs. 500/- per annum.
Q3.When will the billing be done, how frequently?
Ans.FC Billing will be done once in a Year i.e in September, every year and last date of payment is 31st December of that year
Q4.What is expected amount to be paid to a Nominee in full 100 %?
Ans.Expected amount to be paid to a nominee will be the number of members in the scheme on the 1st of the month in which the member passes away x Rs.350/-. (Currently as on August 2016 the latest Death Fraternity Benefit paid to the Nominee was Rs.350X2029 members= Rs.7,10,150, (in words Rupees Seven Lakhs Ten Thousand One Hundred and Fifty Only).Which is likely to increase as more members added up in future.(caution deposit minus dues if any).
Q5.When shall be life cover start, once the application is received by your office?
Ans.Life cover starts one year after a person becomes a member. If you enroll on 27th March 2011 Death Fraternity Benefit is payable to nominees only if the member expires one year after date of admission into the Scheme, unless it is an accidental death. During this window period for DFB, if the Member Passes away, the Nominee/s will be refunded only the total joining fee amount paid by the member.(Minus administrative charges)
Q6.What will be the likely yearly contribution by the FBS member?
Ans.Statistics of last 7 years of IAP shows that there has been an average of 14 reported deaths of IAP members every year. So 1/3 may be FBS members (2000) out of which about 1-3 members death per year may occur. Hence the approximate amount may be 3 x 360 = 1080 + 500 Annual administration fee = Rs.1580(to be paid in September)
Q7.Is PAN card necessary for nominee's
Ans.It is prudent to have a PAN card when large amounts are received by cheque, though there is no tax on Death Benefit amount as per our auditors view. If no PAN Card is available, it does not disqualify the nominee's nomination.
Q8.Why thumb impression of nominee?
Ans.Signatures can change over a period of time due to tremors,trauma, blindness, old age etc., but thumb impressions have more authentic biometric ID in cases of disputes.
Q9.Where do I get the Application Forms?
Ans.Application Forms can be downloaded from the web sites or or write to us at we will email you.
Q10.Can I use a photocopy of the FBS Application Form?
Q11.Can I nominate more than two persons?
Q12.Can I change nominees later?
Q13.In whose favour of D.D./Cheques to be drawn?
Ans.In favor of "Family Benefit Society", Payable at Hyderabad
Q14.How do I make direct electronic transfer to FBS account?
Ans.Any payments can be made directly through the connected banks all over India by simply writing the following; 1. A/c Name: Family Benefit Society 2. A/c No.62184506297 3. Bank: State Bank of Hyderabad, Gunfoundry Branch, Hyderabad, IFSC No.SBHY0020066
Q15.What is the administration fee?
Ans.It is once a year single payment of Rs.500/- taken in FC bill, annually.
Q16.What is the upper age limit for becoming a FBS member?
Ans.Upper Age limit for becoming FBS member is 60 years.
Q17.What are the medical diseases do we have to declare and what is its purpose?
Ans.Only terminal illnesses to be declared. But it is not a bar for admissions. The purpose is for its statistics importance for future policies. Any other diseases need not be mentioned and not necessary.
Q18.If the nominees (children) are not residing with me, what do I do?
Ans.Send their names in the application form follow it up later with the photo, thumb impression etc. on a separate paper.
Q19.What will happen to Joining fees, will it be returned with Death benefit to the nominee? or FBS member has to pay recurrently ?
Ans.The Joining fee is one time payment when applying for the FBS membership. Once admitted it will become non refundable and goes into permanent corpus fund of the FBS. It can not be withdrawn for payment of Death benefit. The interest generated on it in future from bonds or fixed deposits may be used to distribute as DBF among nominee after deducting Taxes and expenditure on managing the FBS. The joining fee will be returned if the member passes away during window period (within one year of admission) with out getting DBF, as per the present bye-laws.
Q20.What happens if the local IAP Branch is far away from where I stay, or if I am not having any local branch near my Place, then is there anyone else who can attest the Application Form?
Ans.To facilitate easier attestation, now the Application Form can be attested by any one of the following persons: Local IAP Branch President or Secretary (or) Two IAP Members with membership No. (or) Bank Manager.
Q21.Are contributions such as joining fee and fraternity bills paid by a member deductable under income tax?
Ans.Presently such contributions are not tax deductible, though there is no tax on Death Benefit amount as per our auditors view. In future Direct Tax Code will be anticipated
Q22.Who can be witness in Voluntary health Declaration certificate?
Ans.Any two respectable adult citizens of India can be witnesses. Need not be doctors or IAP members.