(1) For the purposes of the fixed term life insurance fund as referred to in Section 40A. of the Act, the Government of Nepal may, by publishing a notice in the Nepal Gazette, designate any insurance company within the country or any body formed pursuant to the laws in force for the operation of the fixed term life insurance, in consideration of, inter alia, the transaction, financial capacity of that company or body.
(2) The body as referred to in Sub-rule (1) shall have the fixed term life insurance fund as referred to in Sub-section (1) of Section 40A. of the Act.
(3) Where an employee has taken the extra-ordinary leave or study leave without pay or leave without pay, the Government shall add the amount for that period and credit the same to the fund for that period only if such employee pays amount in consideration for insurance.
(4) Even a civil employee who has been dismissed from service, with being disqualified for the government service in the future shall be
entitled to the amount deposited in his or her fund and interest accrued thereon.
(5) If in providing the insured amount pursuant to this Rule, it is required to provide the amount exceeding the amount deposited in the name of the concerned civil employee, the Government of Nepal shall deposit the excess amount with the company or body as referred to in Sub-rule (1).
(6) The body designated pursuant to Sub-rule (1) shall maintain updated records reflecting severally the account of amount of each civil employee credited to the insurance fund and provide details of each year to the concerned employee.
(7) The Government of Nepal may issue and enforce required manual for the operation and management of the fixed term life insurance fund.