Common Service Centres

Common Service Centres

• CSCs are  the front-end delivery points for government, private and social sector services to
citizens of India. The CSCs  are to offer  web-enabled e-governance/private companies
services in rural areas, including application forms, certificates, and utility payments such as
electricity, telephone and water bills, rural & micro banking and insurance etc.  
• The Common Service Centres (CSC) are established under Digital India programme of
Government of India and implemented by M/s. CSC e- Governance Services India Limited.
• The Authority has notified the Insurance Regulatory and Development Authority of India
(Insurance Services by Common Service Centres), Regulations 2015 on 5 October, 2015
Structure
• The PPP model of the CSC scheme envisages a 3-tier structure consisting of the CSC
operator (called Village Level Entrepreneur or VLE); the Service Centre Agency (SCA), that
will be responsible for a division of 500-1000 CSCs; and a State Designated Agency (SDA)
identified by the State Government responsible for managing the implementation in the entire
State.
• Rural Authorised Person (RAP) shall be an individual Village Level Entrepreneur (VLE)
registered and authorized by the CSC-SPV to operate and manage a Common Service Centre
to market Insurance Products and offer insurance related services. He should undergo 20-
hour training and pass an examination conducted by NIELIT and have th a minimum
qualification of 10 pass or equivalent.
• To make the scheme financial viable sale of insurance and other financial line products were
made part of the bouquet to enhance the fee based income of the operator i.e. Village Level 
Entrepreneur (VLE). By the end of 2014-15 there were  approximately 125000 VLEs across
the country.
Progress so far
Like any other initiative, CSC-SPV model had a slow start but it is picking up well now. Against the
collection of mere Rs 33.77 crores in year 2013, the figure stood at Rs 128.69 in calendar year 2015.
In the first five months of calendar year 2016 – the figure has crossed 110 Cr and future looks very
bright. HDFC Ergo, Future Generali, Iffco Tokio and Reliance General have taken initial lead and they
are doing very well.

Motor third party product continues to be the most sought after product contributing almost 92% of
premium followed by Life insurance which shares 6%. But in life insurance most of the premium
collected is of renewal less of new business. The number of RAPs has crossed 10k mark and the
progress is very good on this count. 

Please read article already shared on email :

https://www.linkedin.com/pulse/common-service-centre-csc-hope-increasing-rural-insurance-pandey/

by Prof. Manoj Kumar Pandey