Pradhan Mantri Suraksha Bima Yojana (PMJJBY), APY and PMSBY, Complete 8 Years of Providing Social Security Cover

Pradhan Mantri Suraksha Bima Yojana (PMJJBY), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMSBY), and Atal Pension Yojana (APY) Provide Social Security Cover to Millions of Indians for Eight Years

As of May 09, 2023, Pradhan Mantri Suraksha Bima Yojana (PMJJBY), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMSBY), and Atal Pension Yojana (APY) have completed eight years of providing social security cover to underprivileged individuals in India. The three schemes were launched by Prime Minister Narendra Modi on May 09, 2015, with the aim of promoting financial inclusion in the country and providing affordable insurance and security to people.

Significant Enrollments and Claims Settlements under the Jan Suraksha Schemes

According to data, as of April 26, 2023, there have been 16.2 crore, 34.2 crore, and 5.2 crore enrollments under PMJJBY, PMSBY, and APY, respectively. The schemes have provided crucial financial services to individuals from underprivileged backgrounds, reducing their financial vulnerability.

PMJJBY scheme has supported 6.64 lakh families who have received claims for US$ 1.6 billion (Rs. 13,290 crore), while PMSBY scheme has settled claims for more than 1.15 lakh families for US$ 281 million (Rs. 2,302 crore). The simplification of the claim process has resulted in speedier settlement of claims for both schemes.

The Union Finance Minister, Nirmala Sitharaman, commended the targeted approach being used to maximize the reach of the social security schemes. She emphasized that the government is dedicated to ensuring that the benefits of these schemes reach every eligible individual across the nation.

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMSBY)

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMSBY) is a government-backed life insurance scheme launched by the Indian government on May 9, 2015, to provide life insurance coverage to individuals belonging to the economically weaker sections of society. The scheme is administered by the Life Insurance Corporation of India (LIC) and other participating insurance companies.

PMSBY provides a renewable one-year term life insurance cover of Rs. 2 lakh (approx. $2,700) at a very low premium of Rs. 330 (approx. $4.5) per annum. The scheme is available to individuals aged between 18 to 50 years and who have a savings bank account. The scheme provides financial security to the families of the insured in the event of their death due to any reason, including natural or accidental death.

As of March 2021, over 13 crore (130 million) people have enrolled in PMSBY, making it one of the largest life insurance schemes in the world. The government has also made it mandatory for all bank account holders to enroll in the scheme, thereby ensuring a wider reach and coverage.

The premium for PMSBY is auto-debited from the policyholder's savings account on an annual basis, and the policy is automatically renewed each year, provided there is sufficient balance in the account. The scheme has been instrumental in providing financial security and support to the economically weaker sections of society, who may not have access to adequate life insurance coverage otherwise.

PMSBY also offers an optional add-on benefit of Pradhan Mantri Suraksha Bima Yojana (PMSBY), which provides accidental death and disability coverage. The premium for PMSBY is also very low, at Rs. 12 (approx. $0.16) per annum for a cover of Rs. 2 lakh (approx. $2,700). As of March 2021, over 25 crore (250 million) people have enrolled in PMSBY.

Pradhan Mantri Suraksha Bima Yojana (PMJJBY)

Pradhan Mantri Suraksha Bima Yojana (PMJJBY) is a social security scheme launched by the Government of India on May 9, 2015, with the aim of providing insurance coverage to the common man at an affordable premium. The scheme is open to people between the age group of 18 to 70 years and provides accidental death and disability coverage. 

Pradhan Mantri Suraksha Bima Yojana (PMJJBY) has been a popular insurance scheme in India since its launch in 2015. As of March 2021, the scheme has provided insurance coverage to over 26 crore people in the country. The scheme is administered by the Life Insurance Corporation of India (LIC) and other participating insurance companies.

Under PMJJBY, the insured person is covered for accidental death and disability. In case of accidental death, the nominee of the insured person receives a sum assured of Rs. 2 lakh. In case of permanent total disability, the insured person also receives the sum assured of Rs. 2 lakh. In case of permanent partial disability, the insured person receives a partial sum assured amount depending on the extent of disability.

The premium for PMJJBY is very low, only Rs. 12 per annum per insured person. The premium is deducted directly from the bank account of the insured person. The coverage period for PMJJBY is from June 1 to May 31 of the following year, and the insured person has to renew the policy every year.

The enrollment process for PMJJBY is very simple and can be done through a bank account. The scheme is available to all savings bank account holders in the age group of 18 to 70 years, and the applicant has to provide a self-certification of good health to enroll in the scheme.

PMJJBY has been a significant initiative by the Government of India towards providing social security and financial protection to the common man. It has also helped in promoting insurance culture in the country.

Conclusion

PMJJBY, PMSBY, and APY have played a significant role in providing social security cover to millions of underprivileged individuals in India for eight years. The schemes have enabled financial inclusion, reducing the financial vulnerability of the beneficiaries. The simplification of the claim process has resulted in speedier settlement of claims, providing crucial support to families in need.