This initiative was taken in a bid to address certain concerns pertaining to the segment.
As suggested by the sources, the scheme may offer accidental insurance cover in adherence to Pradhan Mantri Suraksha Bima Yojana (PMSBY) at an affordable premium meant for the traders.
The scheme will likely offer accidental insurance cover upto Rs 10 lakh to the small traders on the basis of the turnover.
If approved, the scheme is likely to be announced prior to the commencement of the Budget session, added the sources.
As of now, PMSBY offers accidental cover worth Rs 2 lakh at an affordable rate of just Rs 12 per annum. It is eligible to traders within the age-group 18 to 70 years with a savings bank account who ensure their consent to join and enable auto-debit on or before May 31 every year.
Further, the Centre is also planning to consider offering a subsidised finance to the traders, who are willing to adopt computerisation and upgrade their businesses.