Understanding Pradhan Mantri Jeevan Jyoti Bima Yojana
What's the story
The Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) is a government-sponsored life insurance scheme in India. It is designed to offer financial security to the insured's family in the event of their unfortunate demise. At an affordable premium of ₹330 per year, it provides a life cover of ₹2 lakh. This scheme is available for individuals aged 18 to 50 years with a bank account.
Eligibility
Eligibility criteria simplified
To be eligible for PMJJBY, you need to be between 18 and 50 years old and possess a bank account for auto-debit of the premium. Importantly, although the policy covers individuals until they turn 55, you cannot enroll after turning 50. This arrangement allows individuals to provide financial protection to their families until a reasonably advanced age, without making the enrollment process complex.
Enrollment
The enrollment process made easy
Enrolling in PMJJBY is super easy. You can do it through any of the participating banks or insurance companies. Most of the time, it's as simple as filling out a short form and giving your consent for auto-debit of the premium from your bank account. Many banks even let you enroll through SMS or online.
Premium
Premium payment details
The yearly premium for PMJJBY is ₹330. This amount is automatically deducted from the subscriber's bank account on or before June 1 each year. This payment covers insurance for one year, from June 1 to May 31. There are no additional costs or fees, making it one of the most affordable life insurance options.
Claim
Claim process explained
If the insured person passes away, their nominee can claim the sum assured under PMJJBY by reaching out to the bank or insurer where the policy was purchased. They will have to fill out a claim form and submit it along with the death certificate and any other necessary documents as requested by their insurer.