Pradhan mantri suraksha bima yojana

1. Pradhan Mantri Suraksha Bima Yojana
Pradhan Mantri Suraksha Bima Yojana is a government-backed accident insurance scheme
which was originally mentioned in the 2015 Budget speech by Finance Minister Arun
Jaitley in February 2015 and formally launched by the current Prime Minister of India, Mr.
Narendra Modi on 9 May in Kolkata. this scheme aims to increase the number of people who
are backed by any kind of insurances in India which was approximately 20% of the
population as of May 2015. Pradhan Mantri Suraksha Bima Yojana is available for people
between 18 and 70 years of age with bank accounts at an annual premium of ₹12 excluding
service tax of 14%. The premium will be debited automatically from the respective bank
accounts opened under Pradhan Mantri Jan Dhan Yojana scheme in the month of June every
year. These accounts initially had zero balances; the Pradhan Mantri Suraksha Bima Yojana
aims to reduce the number of zero account balance accounts.
It will be offered by all the public-sector insurance companies like New India Assurance
Company, National Insurance Company, United India Insurance Company, The Oriental
Insurance Company etc. These will operate by tie-ups with respective banks. The Pradhan
Mantri Suraksha Bima Yojana faced criticism from the private banks and said the scheme
shouldn’t have been launched for the poorer section and should have been launched for the
upper middle class instead. It is predicted that this scheme will increase the work load in the
service sector.
The cover will be immediately terminated if:
 If the policy holder crosses 70 years of age
 If the policyholder is unable to pay the premium or closes their savings bank account.
 If the policyholder has opted for more than one scheme the oldest one will be eligible
for the benefits and the newer ones will be not valid.
 If the premium wasn’t paid due to insufficient balance, the policy will be terminated
till the time the policy is paid.
 If the scheme succeeds then the people below poverty line will have a sigh of relief.
Benefits:
In case of death the sum insured is ₹200,000. Total and irrecoverable loss of both eyes or loss

2. of use of both hands or feet or loss of sight of one eye and loss of use of one hand or one foot
sum insured is ₹200,000. Total and irrecoverable loss of sight of one eye or loss of use of one
hand or one foot and the sum assured is ₹100,000.
Let us look at the process of claim settlement:
First step is to fill up the claim form and submit it with the Death Certificate, FIR or Post
Mortem report, Insurance certificate and discharge certificate at the bank where you are
supposed to get the claim from. The documents will be forwarded to the nearest Insurance
office where the documents are subjected to verification. On completion of this step bank will
send the claim money to the bank account of the nominee.
Major Exclusions: Intentional self injury, suicide or attempted suicide whilst under the
influence of intoxication liquor or drugs, Any loss arising from an act made in breach of law
with or without criminal intent.”