Pradhan Mantri Jivan Jyoti Bima Yojana (PMJJBY)

The Pradhan Mantri Jivan Jyoti Bima Yojana (PMJJBY) is a scheme that provides a life insurance policy at nominal premium rates. Many underprivileged people in the country cannot afford life insurance plans. So, after considering this, the Indian government came up with this scheme to help poverty-stricken families get access to life insurance plans.

• You have to be between the age of 18 and 50 years to apply for a policy under this scheme. The coverage for the policy extends to a maximum age of 55 years.
• There is a requirement for a bank account or post office account for the auto-debit of the premium to take place.
• You must have an Aadhaar card for the KYC verification process.

The major features of this Pradhan Mantri Jivan Jyoti Bima Yojana include

• In case of the policyholder's unfortunate death, an amount of ₹2 lakhs will be paid to the beneficiary or nominee of the policy who is mentioned in the policy when purchasing the policy.
• The policy's coverage period under the scheme is one year (1st June of the ongoing year till 31st May of the subsequent year), and the policy can also be renewed (maximum up to 55 years of age).
• The premium payment of the policy has to be linked to the policyholder's bank account, and the auto-debit for the payment of the premium will take place between the 25th and 31st of May.
• For KYC verification, the Aadhaar card is the essential document that will be considered.
• Even if there are multiple savings accounts in different banks or the same bank in your name, you can apply for the policy only through one bank account.

Some of the top benefits under the Pradhan Mantri Jivan Jyoti Bima Yojana(PMJJBY) are

• According to the Indian Income Tax Act of 1961, you can avail of a tax benefit for the policy premium you pay for the life insurance plan under the scheme.
• You can exit from the scheme temporarily and then rejoin the scheme by linking the account, paying the policy premium, and providing the updated health certificate.
• The ₹2 lakhs lump sum that is provided to the nominee/beneficiary is tax-free. Moreover, the process of claims under the scheme is efficient and easy.
• There is no requirement to remember to initiate the renewal of your policy each year. The premium amount will be debited automatically, and the policy will be renewed in the predetermined slot.

Some of the major exclusions under the PMJJBY are

• Attempted suicide under the influence of or having consumed intoxicating substances
• Breach of any Indian law without or with criminal intent

The Pradhan Mantri Jeevan Jyoti Bima Yojana online application process includes some simple steps. These are

1. All Indian banks do not support the scheme. Thus, check with your bank whether it offers the PMJJBY scheme.
2. Visit your bank's website and then log in to the bank account using the net banking login details or debit card pin(as applicable).
3. Tap on the tab that mentions ‘insurance’ and then click on social schemes. The PMJJBY scheme will be listed under it.
4. Select the scheme.
5. Now choose the bank account from which the premium payment will be debited automatically annually.

The status of the policy issued under the PMJJBY can be checked online. Here are the steps

1. Visit the bank's website and log in to the bank account using the internet banking details.
2. Go to the section of PMJJBY online and then enter your bank account details.
3. Now, add the application number of the scheme and then click on submit to get the status of your policy.

After enrolling under the PMJJBY online, you can easily get the policy document. Here are a few simple steps:

1. All Indian banks do not support the scheme. Thus, check with your bank whether it offers the PMJJBY scheme.
2. Visit your bank's website and then log in to the account using the net banking credentials or debit card pin(as applicable).
3. Now choose the type of transaction. For instance, choose UID and then enter the Aadhar number for detailed verification.
4. Now, enter all the details, such as your name, nominee details, account number, etc. Tick the box with ‘Declaration of Good Health’.
5. Once the registration for the PMJJBY certificate is completed, you can see all your policy details.

In case you are the nominee of the PMJJBY policy, here are the steps to file a claim:

1. Visit the bank account website that is linked to the policy and submit the policyholder’s death certificate.
2. Now, you can either download the online claim form or go to the bank and collect the claim form. Fill up this form with all the necessary details.
3. Attach copies of all the required documents like the death certificate, cancelled cheque, details of the bank account, etc.

Once all the details and documents have been submitted to the bank, the bank will initiate the verification process.

Once it has been verified, the bank will ask the insurer to proceed. The submitted documents will also be verified by the insurance company. Once the verification is complete, the lump sum amount will be transferred by the insurer to the nominee’s bank account.

If you have any queries regarding the scheme, you can contact the Indian Department of Financial Services. The fax number and address are mentioned below.

Fax No. - 23344605 (Insurance), 23360250, 23742207(Banking Division)

Address of the Indian Department of Financial Services

Ministry of Finance

Jeevan Deep Building, 3rd Floor
Sansad Marg
New Delhi
Pin Code - 110001

There are two main ways to cancel the PMJJBY scheme

Method 1

The first method is to go to the bank branch and request them to stop the process of premium auto-debit from the bank account. If the premium for the policy is not paid timely, the policy will get automatically cancelled.

Method 2

The second way is to transfer all the funds in the bank account that is linked to an alternate bank account. This will lead to the failure of the auto-debit due to inadequate funds, and the policy will then get cancelled.

A life insurance policy ensures your family has a financial cushion to fall on in case of your unfortunate demise. With the PMJJBY scheme, buying life insurance has become easier for people who do not have the funds to do so. Under the PMJJBY scheme, the life insurance plan is affordable and ensures that your family will have funds for their expenses even when you are not there.

Also, while you get life insurance, do not forget to get a suitable health insurance plan to ensure your family does not have to face turmoil in case there is a medical emergency. There are varied benefits of buying these plans, such as pre and post-hospitalisation coverage, cashless treatment, health insurance tax benefits, and so on.

There are different health insurance plans available with Tata AIG. You can simply go online and choose a plan that suits your requirements. It is an easy process, but the health insurance plan will ensure that you are stress-free and have the necessary resources in case of a medical emergency.