KARACHI: Insurance companies operating in Pakistan have been asked to take their services to the rural areas in a bid to provide social security and to mobilise national savings. As a first step, the companies have been told to approach the villagers with insurance literature and forms in their own regional languages to facilitate their understanding of the benefits of life insurance.

The step to popularise insurance in the villages will be followed by a full-blast propaganda campaign. Plan to chalk out an effective strategy for the success of the campaign is in hand.

The Controller of Insurance and Accountancy, Mr Zal S.D. Contractor, yesterday expressed satisfaction at the measure of cooperation coming from the insurance companies on the question of extending their services to the villages, which, according to the latest census figures, hold 86.9 per cent of the country’s total population.

Absence of medical facilities has been identified as a serious obstacle in the spreading of insurance to the rural area. Pakistan stands among countries having the lowest total amount insured. As against about Rs11,000 per head in the US, about Rs2,500 in the UK, the total sum insured in Pakistan represents only Rs7 per head. Even the per capita calculation in India comes to Rs29.

Mr Contactor said that no legislative measures could succeed in the intensification of insurance. It was only the realisation of the benefits of coverage of risk on the part of the insured and profit incentive on the part of the insurer that would help spread insurance in the country. Another community benefit from growth of insurance would be the reduction in premium rates.

Medical aid for all soon: Burki HYDERABAD: Minister for Health and Social Welfare Lt-Gen W.A. Burki said here yesterday that after the end of the Second Five-Year Plan, medical aid would be available to all and that there would be no tuberculosis and malaria in the country.

The minister was laying the foundation stone of a Primary Health Centre at Bulri, about 50 miles from here.