The Pradhan Mantri Suraksha Bima Yojana (PMSBY) is a government-backed accident insurance scheme launched in 2015. It aims to provide affordable insurance coverage to India’s citizens, offering financial protection against death or disability due to accidents. With its minimal premium and simple enrollment process, PMSBY increases access to insurance for those who might otherwise remain uninsured.
Key Features of PMSBY
- Eligibility: All bank account holders between the ages of 18-70 are eligible to enroll in PMSBY.
- Risk Coverage: PMSBY offers insurance coverage for the following:
- Death due to accident: Rs. 2 lakhs
- Permanent total disability due to accident: Rs. 2 lakhs
- Permanent partial disability due to accident: Rs. 1 lakh
- Premium: The annual premium for PMSBY is a remarkably low Rs. 12, automatically deducted from the subscriber’s bank account.
- Enrollment Period: The scheme offers a one-year coverage period, which is renewable every year.
Understanding the Benefits of PMSBY
- Financial Support During Crisis: In the event of an unfortunate accident, PMSBY provides much-needed financial assistance to families of the deceased or those suffering from disabilities.
- Affordable Protection: The low premium makes PMSBY highly accessible, even for low-income individuals and families.
- Easy Enrollment: The scheme’s linkage to bank accounts streamlines the enrollment process, ensuring greater participation.
Example
A young construction worker enrolls in PMSBY. Sadly, he suffers a severe injury in a workplace accident, leaving him permanently disabled. Due to his PMSBY coverage, he receives a payout of Rs. 2 lakhs, which helps cover his medical expenses and supports him while he is unable to work.
Frequently Asked Questions (FAQs) About PMSBY
- How and where do I enroll in PMSBY? Enrollment can be done through your bank where you have a savings account.
- How is the claim process initiated? The nominee needs to contact the bank branch with a claim form and supporting documents like the death certificate or disability certificate.
- Can I withdraw prematurely from PMSBY? Yes, but no refunds of premium will be issued upon premature withdrawal.
MCQs
The annual premium for PMSBY is:
A. Rs. 12
B. Rs. 500
C. Rs. 2000
D. Rs. 5000
Which of the following situations is NOT covered under PMSBY?
A. Death due to accident
B. Permanent total disability
C. Illness due to a disease
D. Partial disability due to accident