Pradhan Mantri Suraksha Bima Yojana - PMSBY


 
 
Concept Explanation
 

Pradhan Mantri Suraksha Bima Yojana - PMSBY

PRADHAN MANTRI SURAKSHA BIMA YOJANA : A flagship social security scheme Pradhan Mantri Suraksha Bima Yojana (PMSBY), which is an accidental death and disability insurance scheme, has been launched by PM Narendra Modi. The death benefit under PMSBY is up to Rs. 2 lakh. In the case of total disability, such as the loss of both hands or eyes, the insurance cover is up to Rs. 2 lakh. In the case of partial disability, such as the loss of one limb or eyes, the sum assured is Rs. 1 lakh. The insurance premium of PMSBY scheme is Rs. 12 per annum for each member. The premium amount will be deducted from the bank savings account of the policyholder via auto-debit facility every June.

Individuals between 18 to 70 years of age can apply for PMSBY scheme. To be registered under the  scheme, Aadhaar card must be furnished as KYC document. PMSBY policy will be terminated if the policyholder reaches 70 years of age, the bank savings account doesn't have minimum balance to pay the premium via auto-debit facility or having more than one policy under the same scheme.

Features:

  • The accidental death insurance cover is renewable each year.
  • The annual premium to be paid is Rs. 12. This premium is excluding the service tax, which is charged at 14%.
  • Up to Rs. 2 lakh cover is payable to the nominee of the subscriber if he or she dies in an accident or is totally disabled due to the accident.
  • The premium is auto debited from the bank account of the subscriber.
  • The subscriber can avail the long-term option or renew the scheme every year.
  • The subscriber can exit the scheme at any time and can sign-up at any time in the future.
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