Latest news with #PMSBY
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Business Standard
21-05-2025
- Business
- Business Standard
Pradhan Mantri Suraksha Bima Yojana - A decade of insurance inclusion
Pradhan Mantri Suraksha Bima Yojana (PMSBY) marks a significant milestone in India's journey toward universal social security. Launched in May 2015 and designed as an affordable and accessible personal accident insurance scheme, PMSBY targeted economically vulnerable citizens, particularly those in rural and unorganised sectors. With a nominal annual premium of ₹20, the scheme offers ₹2 lakh insurance coverage for accidental death or full disability, and ₹1 lakh for partial disability. Over the past decade, PMSBY has evolved from a government initiative to a symbol of inclusive insurance outreach. PMSBY was conceived as part of the government's broader strategy to strengthen the social security framework in India. It followed the successful rollout of the Pradhan Mantri Jan Dhan Yojana (PMJDY), which brought millions of underbanked Indians into the formal banking system. The linkage between Jan Dhan accounts and PMSBY facilitated seamless enrolment through auto-debit, making it especially easy for low-income individuals to subscribe with ease. Together, these schemes have become pillars of India's insurance inclusion strategy, ensuring that the economically weaker sections are not left vulnerable in times of need. In the last ten years, the scheme has crossed 44 crore enrolments and has settled over 135,000 claims, disbursing more than ₹2,700 crore in FY 2024–25 alone. These figures highlight the scale and impact of the initiative in embedding insurance awareness across the nation. The National Insurance Company (NIC) has played a key role in implementing this scheme. Covering over 170.4 million individuals across states which is nearly 38 per cent of the total enrolment, NIC has worked with commitment and compassion to ensure the scheme reaches its intended beneficiaries. Over the decade, NIC has honoured nearly 55,000 claims, i.e. 40 per cent of the total claims, amounting to ₹1,000 crore, reinforcing its dedication to serving the underprivileged with empathy and efficiency. Through PMSBY, financial institutions have had the opportunity to directly engage with the lives of those often left out of mainstream insurance services. These interactions have not only deepened their resolve to support the mission of insurance inclusion but have also provided meaningful insight into the hardships and resilience of India's poor. The true measure of PMSBY's success lies in the stories of its beneficiaries, the stories of resilience in face of loss. Mrs. Meena Singh, a homemaker from Jehanabad, Bihar, lost her husband in a tragic road accident. Though devastated, the family received ₹2 lakh under PMSBY, which helped her continue her children's education. Her late husband had enrolled in PMSBY through his bank, with just ₹20 being auto-debited annually. Similarly, in Karnataka, Rani Kumari, a teenager injured in a bike accident, received timely medical treatment funded by the claim settlement of her deceased brother's policy. The ₹2 lakh payout provided critical financial relief for her family. Further East, in Guwahati, Ms. Riya Das, a young widow, received ₹2 lakh within seven days of submitting documents after her husband's accidental drowning. These touching stories, though only a few among thousands, reflect how PMSBY has brought dignity and hope to families during times of intense grief and financial distress. For many, it has been the only form of insurance they could afford — turning ₹20 into life-saving support. However, the journey of PMSBY has not been without its share of challenges. Initially, the scheme faced issues related to geographical remoteness, low awareness in rural areas, administrative hurdles in claim processing and difficulty in collecting valid documents to name a few. However, persistent efforts, digital outreach, and supportive government frameworks have addressed many of these concerns. The launch of the Jan Suraksha Portal has improved transparency and ease of enrolment and claims, especially for rural populations. Integration with banking and digital platforms has further streamlined operations and minimised delays. As India looks ahead to Viksit Bharat @2047, aiming for inclusive development, schemes like PMSBY are foundational to achieving 'Insurance for All.' To deepen its impact further, future measures could include Enhancing the coverage from ₹2 lakh to ₹5 lakh to reflect expanded benefits while remaining affordable, launching awareness campaigns at the block and panchayat levels, strengthening grievance redressal mechanisms and digital claim tracking. These steps will ensure the scheme remains sustainable and responsive to evolving needs, especially amid rising accident-related risks and medical costs. Over the past decade, Pradhan Mantri Suraksha Bima Yojana has not only promoted insurance literacy but also saved families from financial ruin in the aftermath of tragedies. The collaborative effort of the government, banks, insurers, and the resilience of the beneficiaries themselves has made PMSBY a model for social insurance schemes worldwide. As we move towards a more secure and equitable India, the journey of PMSBY stands as a testament to the power of simple, well-designed policies in transforming lives. From ₹20 premiums to ₹2 lakh payouts, the scheme continues to demonstrate that even the smallest contributions can build a future of security, trust, and dignity for all.
Hans India
09-05-2025
- Business
- Hans India
PMSBY's cumulative enrolments surged by 443 pc since 2016: Centre
New Delhi: The cumulative enrolments under the Pradhan Mantri Suraksha Bima Yojana (PMBSY), -- an accident insurance scheme -- has surged by 443 per cent, since 2016, said the Union government on Friday, as the scheme marks a decade of launch. The scheme provides financial stability and affordable security in case of accidents and loss of lives at just Rs 20 per year. 'Ensure financial stability for your loved ones with PM Suraksha Bima Yojana! Cumulative enrolments under PMSBY have risen by 443 per cent, from 9.40 Cr in March 2016 to 51.06 Cr in April 2025. Affordable security at just Rs 20 per year!' the Ministry of Finance said in a post on social media platform X. Launched in 2015 by Prime Minister Narendra Modi, the Pradhan Mantri Suraksha Bima Yojana has become a cornerstone of the government's efforts to provide financial safety to the public. The scheme was officially launched on May 9, 2015, in Kolkata. It covers all Indian residents and non-resident Indians (NRIs) between the ages of 18 and 70, provided they have a valid bank account. In the unfortunate event of partial disability due to an accident, the scheme offers Rs 1 lakh directly to the individual's account. In the tragic case of death caused by a road accident or any other unfortunate incident, the family or heirs of the deceased are entitled to a financial support of Rs 2 lakh. The scheme requires an annual premium of just Rs 20, which is automatically deducted from the account of the policyholder. It offers a one-year coverage period, running from June 1 to May 31. The policy is administered through public sector insurance companies, making it accessible to the masses. In the event of death or full disability, the nominee is entitled to Rs 2 lakh. Full disability is defined as the complete loss of use of both eyes, hands, or feet. Partial permanent disability, such as the loss of one eye, hand, or foot, is eligible for a payout of Rs 1 lakh. However, claims are not accepted in cases of death caused by suicide, alcohol, or drug abuse. In addition, a person must be enrolled in the scheme for at least 45 days before being eligible to make a claim.
India Gazette
09-05-2025
- Business
- India Gazette
PM Suraksha Bima Yojana sees 443% surge in enrolments
ANI 09 May 2025, 12:39 GMT+10 New Delhi [India], May 9 (ANI): The Ministry of Finance on Friday said the Prime Minister Suraksha Bima Yojana witnessed a rise of 443 per cent in its customer base from March 2016 to April 2025.'Ensure financial stability for your loved ones with PM Suraksha Bima Yojana! Cumulative enrolments under PMSBY have risen by 443%, from 9.40 Cr in March 2016 to 51.06 Cr in April 2025. Affordable security at just Rs20 per year! #10YearsofJansurakshaSchemes #10YearsofPMSBY,' the Ministry of Finance said in a post on the social media site 'X'.The scheme saw enrolments climb to 15.47 crore by March 2019, 28.19 crore in March 2022, and 50.78 crore in March 2025, culminating in the current tally of 51.06 crore by April 23, is a government-backed accident insurance scheme in India that provides financial protection in case of death or disability to the subscriber due to an accident. The plan offers a sum assured of Rs 2 lakh at a nominal premium of Rs 20 per scheme is available to all those in the age group of 18 to 70 years, with a bank or post office account. The eligible candidates have to give their consent to enable auto debit of the premium from their bank account. With automatic debits, the permission of the account holder is given to the firm, which can then debit funds from the person's bank government also has several other social benefits schemes similar to this one, which includes the Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (AB-PMJAY) provides an annual health cover of Rs. 5 lakh per eligible family for secondary and tertiary care hospitalization. It is a completely cashless and paperless Mantri Shram Yogi Maan-Dhan (PM-SYM) pension scheme, launched in 2019, aims to offer old-age protections. It provides a monthly pension of Rs 3,000 after attaining the age of 60 years to the eligible government had also launched an e-Shram portal last year, with an objective to create a National Database of unorganised workers. (ANI)
