Lakhs of people across India can secure ₹2 lakh insurance coverage at a very low annual premium under two major social security schemes of the Government of India — the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and the Pradhan Mantri Suraksha Bima Yojana (PMSBY). These schemes were launched to provide affordable life and accident insurance protection to economically weaker sections, daily wage workers, small traders, and unorganized sector employees who otherwise may not have access to formal insurance coverage.
Under PMJJBY, individuals aged between 18 and 50 years can enroll for life insurance coverage of ₹2 lakh by paying an annual premium of ₹436. In the event of the subscriber’s death due to any reason — whether natural or accidental — the nominee receives ₹2 lakh. The coverage continues up to the age of 55 years, subject to annual renewal and timely premium payment through auto-debit from the subscriber’s savings bank account. The scheme is offered through participating banks and is administered by Life Insurance Corporation (LIC) and other empanelled life insurance companies.
On the other hand, PMSBY provides accidental insurance coverage of ₹2 lakh at a highly affordable premium of just ₹20 per year. The scheme is available to individuals aged 18 to 70 years who have a savings bank account. In case of accidental death or full permanent disability, the nominee or beneficiary receives ₹2 lakh. For partial permanent disability, the compensation is ₹1 lakh. The premium is automatically debited from the subscriber’s bank account once a year, ensuring continuous coverage. The scheme is implemented through public and private sector general insurance companies in collaboration with banks.
Both schemes require Aadhaar linkage with the bank account for smooth enrollment and claim settlement. Interested individuals can enroll through their bank branch, business correspondent, internet banking, or mobile banking platforms by submitting a simple consent form. Since the premium amounts are minimal, the schemes have witnessed significant participation across rural and urban India, strengthening the social security net for low-income households.
Claims under PMJJBY must be submitted within 30 days of the insured person’s death, along with required documents such as death certificate and claim form. Similarly, PMSBY claims require accident-related documentation and disability certificates where applicable. The claim amount is directly credited to the nominee’s bank account after verification.
With rising uncertainties and financial risks faced by families dependent on a single earning member, these two schemes have emerged as crucial safety nets. By paying less than ₹500 per year combined, eligible individuals can secure ₹4 lakh total coverage under both schemes together, making them among the most affordable government-backed insurance programs in India. Authorities encourage eligible citizens to enroll through their banks to ensure financial protection for their families in case of unforeseen events.