Yesterday my father called me on my mobile phone and told me about the Pradhan Mantri Suraksha Bima Yojana. Believe me I had no idea about the scheme started by the government.
He told me briefly about the scheme and I was really impressed. So I started researching on the Internet about this program. I found the program is really good and it must be shared by everyone in the country.
So I wrote this article.
What is Pradhan Mantri Suraksha Bima Yojana?
Pradhan Mantri Suraksha Bima Yojana is a universal social security system that will cover every young Indian for his or her illness, accidents and penury in old age.
This is not the first scheme by the government but the successor of Pradhan Mantri Jan Dhan Yojana.
This particular scheme has special benefits that no other schemes previously had. Let us see this scheme in details.
Who All Can Apply for this Scheme?
You must be an Indian citizen in age group of 18 years to 70 years with a bank account.
If you have multiple savings accounts held by an individual in one or different banks then the person is allowed to join through one savings account only.
You need to submit the form to the bank every year before the 1st of June in order to join the scheme.
How Much and Where You Have to Pay for the Yojana?
Now this is what makes Pradhan Mantri Suraksha Bima Yojana great. You have to pay a premium of only Rs 12 per annum, yes Rs 12 in a year. That would be Re 1/- in just one month.
There is only one mode through which you need to pay your premium and that is the premium amount will be auto debited by the bank you have an account in.
What is the Period of the Policy?
The coverage would be for one year and it would start from June 1, 2015 to May 31, 2016, you have to join or pay by auto debit from your savings bank account by May 31, 2015 and expandable to August 31, 2015.
However saving account holder joining after May 31, 2015, or before August 31, 2015 the plan end on May 31, 2016.
What is the Risk Coverage of the Scheme?
Now you need to know what all is this scheme going to cover? For the full accident and full disability you will be paid Rs 2 Lakhs. Here full disability would mean disability of both eyes, both hands, both legs or even one limb and one eye.
And in case of partial disability you will get half of the amount that is Rs 1 Lacs. Partial disability would mean one eye or one limb.
Total amount that you can claim is Rs 2 Lac only.
What is not Covered by this Plan?
You also need to know what is strictly not covered by this scheme.
Some of the major exclusions are intentional self injury, suicide or attempted suicide while you are under the influence of any kind of intoxication like liquor or drugs.
You will not be paid the amount if you are at violation of any of conditions of term and conditions. So read the master policy and its every word.
What are the Core Benefits of this Plan?
Some of the salient features of this plan are
- You get full amount of Rs 2 Lac if there is death or loss of life.
- You also get same amount of Rs 2 Lacs if there is irrecoverable loss of both eyes and both hands or both feet and even loss of one eye, foot or hand.
- You get half of the amount Rs 1 Lac if there is loss of sight of one eye or one hand or foot.
- Moreover the premium that you pay is Re 1 for one month.
- The premium paid will be tax free under section 80C.
Who will Administer or Implement this Plan?
The entire scheme will be administered by all public sector general insurance companies and other insurers who are willing to join the plan and tie up with the banks for this plan.
So here there are two parties one is the bank and other is public sector insurance companies like Life Insurance Corporation.
What are the Role of Banks and Insurance Companies in this Scheme?
Banks are the one who will hold the master policy. They are the one who will settle the claim with the insurance company.
Moreover you will get the enrollment form, auto debt authorization, and consent cum declaration form from the bank you are applying.
Insurance companies are going to administer your plan in association with the bank.
List of Banks and Insurance Companies Offering Pradhan Mantri Suraksha Bima Yojana
There is a tie up of Insurance companies with every bank. Here is the top 10 list.
- Allahabad Bank with Universal Sompo General Insurance Company
- Bhartiya Mahila Bank with United India Assurance
- Canara Bank with United India Assurance
- Central Bank of India with New India Assurance Company Ltd
- Corporation Bank with New India Assurance Company Ltd
- Dena Bank with United India Assurance
- Federal Bank Ltd with New India Assurance Company Ltd
- HDFC Bank Ltd with LIC
- ICICI Bank Ltd with ICICI Lombard General Insurance Company Ltd
- IDBI Bank Ltd with Bajaj Alliance
Pradhan Mantri Jeevan Jyoti Bima Yojana
This plan is the Scheme 2 for life insurance cover. We have compared these two programs in next paragraph but Pradhan Mantri Suraksha Bima Yojana is better than this particular program.
However this scheme is for 18 years to 50 years old, premium is Rs 330 per annum and risk coverage is same Rs 2 Lakhs.
A Comparison Between Pradhan Mantri Suraksha Bima Yojana and Pradhan Mantri Jeevan Jyoti Bima Yojana
Now let us see a brief comparison between these two schemes so that you can choose any one of them.
|Difference||PM Suraksha Bima Yojana||PM Jeevan Jyoti Bima Yojana|
|Eligibility||18 years to 70 Years||18 Years to 50 Years|
|Premium||Rs 12 Per Annum||Rs 330 Per Annum|
|Age of Cover Stoppage||At 70 Years||At 50 Years|
|Death Benefit(Natural Death)||NIL||Rs 2 Lacs|
|Disability of One Eye or Foot||Rs 2 Lacs||NIL|
|Sum Assured||Rs 2 Lacs||Rs 2 Lacs|
|Maximum Cover||Rs 2 Lacs||Rs 2 Lacs|
|Risk Period||1st June to 31st May||1st June to 31st May|
First we look out for the differences and then similarities between these two. You can make out the Pradhan Mantri Suraksha Bima Yojana is better choice for accident related issues.
Download the Form
You can download the form in different languages from http://newindia.co.in/downloads/pmsby.pdf