Pradhan Mantri Suraksha Bima Yojana (PMSBY)

What Is It and How Can It Help You?

Thanks to Government-backed schemes like Pradhan Mantri Suraksha Bima Yojana, people can get financial coverage in case of accidental death or permanent damage. If you are planning to invest in such schemes, here is everything you need to know about PMSBY.

What is Pradhan Mantri Suraksha Bima Yojana (PMSBY)?

According to reports, around 1.4% of India’s total GDP is allocated to health (1) This inevitably makes it challenging for people belonging to the economically weaker section to access proper treatment.

PMSBY is a social security scheme that was announced in India’s 2015 budget. Considering the fact that a significant portion of the Indian population does not own a proper insurance cover, this scheme is aimed at providing monetary assistance to the policyholder’s family members.

Wondering how much you can obtain under this scheme?

Well, with a nominal premium amount of Rs.12 per annum, you can get substantial coverage up to Rs.2 lakhs for accidental demise and permanent disability. Check out the features and advantages it includes to know how the scheme can be beneficial for you.

Features and benefits of PMSBY

The sole purpose of introducing the Pradhan Mantri Suraksha Bima Yojana or PMSBY coverage helps out the lower-income section of the society in case of health emergencies. In case you are wondering whether to opt for this or not, go through the following benefits the scheme offers:

According to the policy features, the claim amount can be obtained by an insured person’s family members, and the nominee will be receiving all of its advantages.
You get the freedom to discontinue the policy if you decide to eliminate additional liabilities.
With such policies, you get to save taxes as well. Under Section 80C and Section 10(10D) of the Income Tax Act, tax exemptions are available on both the deduction and the amount insured of Rs.1 lakh.
The policy offers substantial coverage without charging a huge amount as compared to other insurance policies.
The auto-debit facility ensures that the amount gets submitted every month without you having to spend extra hours to get it done.
The scheme provides monetary coverage up to Rs.2 lakhs in case of permanent disability, such as loss of both the eyes, irrecoverable loss of limbs, or permanent damage. And in case of partial disability, one can avail up to Rs.1 lakh as Pradhan Mantri Suraksha Bima Yojana risk coverage.

What is not covered under the PMSBY scheme?

Even though this scheme focuses on helping out the majority of people belonging to the economically-weaker section, it also has a specific set of restrictions related to the cause of death.

For instance, in case the insured person commits suicide, the beneficiary will not be eligible for a claim. However, beneficiaries of insured individuals falling victim to murder are eligible to claim financial benefits from this scheme.

Death or disability caused due to natural calamities, such as floods, earthquakes, and more are also covered under this scheme.

What are the eligibility parameters for PMSBY?

As mentioned earlier, this scheme provides financial coverage if the sole earning member of a family dies in an accidental death or becomes permanently disabled. To make use of these impeccable benefits the Government-backed scheme offers, you should know the PMSBY eligibility criteria and if you can meet them.

Here it goes:

There are certain instructions regarding the PMSBY age limit. People falling under the age group of 18-70 years will be eligible for this particular scheme.
Generally, all individual bank account holders (both joint and single account) can apply for this scheme. However, those who are having multiple bank accounts in multiple banks can only apply through one account.
In case of joint account holders, both the account holders will be benefited from this scheme’s features.
People residing outside India can also apply for this scheme; however, during the claim process, a nominee will receive the funds in Indian currency only.

What is the premium amount?

Every policyholder is supposed to pay Rs.12 per annum, where the amount gets auto-debited from the linked bank account. The Government has allotted this nominal amount for encouraging more people to opt for this scheme.

Detailed documentation and form fill-up process for PMSBY

Even though most of the Government-backed schemes follow a lenient documentation procedure, you still need to complete basic paperwork while applying for benefits under this particular initiative. The following are some of the necessary documents -

Fill out the PMSBY application form and provide all the necessary details like name, Aadhaar number, contact details, including detailed information about the selected nominee.
Even though you are already submitting your Aadhaar details with the application form, you also need to provide a copy of it if your card details are not linked with your bank account.

What is the enrolling process for Pradhan Mantri Suraksha Bima Yojana?

You can register for this particular policy by using both SMS and internet banking facilities. Here is how you can apply using the first one:

Step 1: You can simply send a text to the on-boarding organisation’s toll-free number to activate the facility.
Step 2: The activation SMS will be sent to you; reply to that text with ‘PMSBY Y’.
Step 3: You might receive another message acknowledging the receipt, and that is how the registration is completed.

Apart from the PMSBY enrolment process through SMS, you can also use the internet banking facility to complete the same within a few seconds. All you have to do is:

Step 1: Login to the net banking account of your chosen financial institution and click on the insurance option.
Step 2: Choose the account you want to use to make the payment for the premium of PMSBY.
Step 3: Make sure to check all the details before confirming and download the confirmation receipt afterwards.

Apart from this easy registration process, the claim settlement process is equally simple and subscriber friendly.

What is the process of raising a claim under the PMSBY scheme?

If such unfortunate incidents occur, a beneficiary can follow the below-mentioned procedure to raise a claim against the PMSBY scheme.

Step 1: Start by reaching out to the insurer from where this policy has been purchased.
Step 2: Generally, the insurance company will ask you to fill out the claim form to provide details like name, details of the hospital, contact information, etc. The form is also available on the Jansuraksha website; you can simply download and fill it up.
Step 3: Check the list of supportive documents you need to submit along with the form. In most cases, it is either the death certificate or disability certificate insurers seek.
Step 4: After confirming the details, the insurance company will transfer the claim amount to the linked bank account and settle the claim.

Pradhan Mantri Suraksha Bima Yojana (PMSBY) Vs Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)

Both these Government-backed schemes aim at supporting economically challenged individuals, especially when the only earning member of the family dies. However, there are certain differences as well, for instance:

Factors to consider	Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)	Pradhan Mantri Suraksha Bima Yojana (PMSBY)
Scheme type	It is a life insurance scheme	It is an accidental insurance scheme
Yearly premium amount	Rs.330 per individual	Rs.12 per member
Coverage type	Provides life insurance coverage to the policyholder	Offers accidental coverage to the policyholder
Age limit	Between 18 and 50 years	PMSBY age limit is between 18 and 70 years
Maximum premium payment age	Generally, it is up to 50 years; however, in some cases, it can be extended up to 55 years.	Individuals up to 70 years need to bear premiums.
Benefits	The sole benefit from this scheme includes monetary coverage up to Rs.2 lakhs in case the insured individual dies.	In case the policyholder dies in an accident, the nominee gets to avail up to Rs.2 lakhs under this policy., Similarly, if an insured person suffers from permanent disability, Rs.2 lakhs can be availed under the scheme., In case of permanent partial disability, Rs.1 lakh can be obtained.

List of participating banks in PMSBY

Here are all the banks that are connected to the Pradhan Mantri Suraksha Bima Yojana scheme:

Allahabad Bank
Bank of India
Bank of Maharashtra
Axis Bank
Bharatiya Mahila Bank
Canara Bank
Federal Bank
Corporation Bank
Central Bank
Dena Bank
HDFC Bank
IDBI Bank
IndusInd Bank
Kerala Gramin Bank
Kotak Bank
ICICI Bank
Vijaya Bank
Punjab and Sind Bank
Punjab National Bank
Oriental Bank of Commerce
State Bank of Hyderabad
State Bank of India
UCO Bank
South Indian Bank
Union Bank of India
State Bank of Travancore
Syndicate Bank
United Bank of India

Despite being one of the fastest-growing economies in the world, India is still struggling to ensure quality healthcare for all. Most of the key components associated with the health sector, such as proper nutrition, safe water, basic sanitation, etc., are often ignored.

The arrival of Government-affiliated insurance schemes like the Pradhan Mantri Suraksha Bima Yojana scheme has helped people to handle such situations after the significant loss.

Frequently Asked Questions

All

How to renew the Pradhan Mantri Suraksha Bima Yojana scheme?

As per the norms of the scheme, the benefits and coverage can be utilised for just one year period starting from 1st June to 31st May. After that, PMSBY renewal is mandatory on or before 31st May every year to continue enjoying the benefits.

With the auto-debit facility, the premium amount automatically gets deducted from your linked bank account. However, to enable the auto-debit facility, make sure to give your auto-debit consent by the allotted time before joining the scheme.

Does the PMSBY scheme provide financial coverage for treatment or hospitalisation charges?

No. Under this particular scheme, a lump sum benefit will only be provided in case of accidental death and disablement.

If I decide to discontinue the scheme after a year, will I be able to rejoin after a couple of years?

Yes, you can rejoin any time you want. There are no restrictions in this regard.

How to download a policy certificate?

Contact the bank where you have the savings account through which you enrolled for the PMSBY scheme. You can download the policy certificate using the bank’s online portal or directly ask them to mail it to you.

Do I need to submit an FIR while applying for a claim?

It solely depends on the type of accident the policyholder has met. For instance, in case of a car accident, a police FIR needs to be submitted. On the other hand, such documents are not required if the person falls from a tree and gets a permanent disability. However, hospital records come in handy in such cases.

What is the PMSBY customer care number?

1800-180-1111/1800-110-001 is the toll-free number you can use to activate the policy. If you are looking for a state-wise customer care number, consider going through Jansuraksha's website.