The government’s social security schemes — Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Atal Pension Yojana (APY) – have covered over 556 million beneficiaries in eight years providing exigency support of ₹15,592 crore nearly eight lakh people under the first two insurance schemes, finance minister Nirmala Sitharaman said.
“It is encouraging to see that these schemes are being implemented through a targeted approach to maximise their reach. Under the leadership of our Prime Minister Narendra Modi, our government is steadfastly dedicated to ensuring that the advantages of these social security schemes reach every eligible individual across the nation,” Sitharaman said in a statement on Tuesday on the eighth anniversary of their launch.
PMJJBY, PMSBY and APY were launched by the Prime Minister on May 9, 2015 in Kolkata.
Speaking about the government’s drive to provide social security to underprivileged, the finance minister said that 16.20 crore (162 million), 34.20 crore (342 million) and 5.20 crore (52 million) enrolments have been done under PMJJBY, PMSBY and APY, respectively till April 26, 2023.
While PMJJBY provided support to 6.64 lakh families receiving claims of ₹13,290 crore, under PMSBY scheme more than 1.15 lakh families received claims for ₹2,302 crore, she said.
“For both PMJJBY and PMSBY schemes, simplification of claim process has resulted in speedier settlement of claims,” she added.
As on April 27, 2023, over 50 million people have subscribed to the APY scheme, securing income in their old age.
The three schemes aim at securing human life from unforeseen events and financial uncertainties.
In the year 2014, the national mission for financial inclusion was launched with the primary objective of ensuring that every citizen in India has access to banking facilities, financial literacy, and social security coverage. Building on this initiative, PM introduced the three “Jan Suraksha” schemes on to promote and advance financial inclusion in the country, she said.
“These three social security schemes are devoted to the well-being of citizens, acknowledging the importance of safeguarding human life against unforeseen risks, losses, and financial uncertainties. These schemes aim to provide essential financial services to individuals from underprivileged backgrounds, thereby reducing their financial vulnerability,” she said.
Union minister of state for finance Bhagwat Kisanrao Karad said the government has adopted a targeted approach for covering people in the rural areas and campaigns are being organised throughout the country at each ‘Gram Panchayat’ for providing coverage to eligible beneficiaries under the scheme.
PMJJBY is a one-year life insurance scheme renewable from year to year offering coverage for death due to any reason.
Persons in the age group of 18-50 years having an individual bank or a post office account are entitled to enroll under the scheme.
People who join the scheme before completing 50 years of age can continue to have the risk of life covered up to age of 55 years upon payment of regular premium.
The scheme provides life cover of ₹2 Lakh in case of death due to any reason against a premium of ₹436 per annum.
PMSBY is a one-year accidental insurance scheme renewable from year to year offering coverage for death or disability due to accident.
Persons in the age group of 18-70 years having an individual bank or a post office account are entitled to enroll under the scheme. It provides accidental death cum disability cover of ₹2 lakh ( ₹1 lakh in case of partial disability) for death or disability due to an accident against a premium of ₹20 per annum.
The Atal Pension Yojana or APY is a universal social security system for all Indians, especially the poor, the under-privileged and the workers in the unorganised sector. It is an initiative of the government to provide financial security and cover future exigencies for the people in the unorganised sector.
APY is administered by Pension Fund Regulatory and Development Authority (PFRDA) under the overall administrative and institutional architecture of the National Pension System (NPS).
It is open to all bank account holders in the age group of 18 to 40 years who are not income tax payers and the contributions differ, based on pension amount chosen.
Subscribers would receive the guaranteed minimum monthly pension between ₹1,000 to ₹5,000 after the age of 60 years, based on the contributions made by the subscriber after joining the scheme.