Pradhan Mantri Jeevan Jyoti Bima Yojana
Pradhan Mantri Jeevan Jyoti Bima Yojana is the life insurance scheme which is backed by the government of India. It was told to the people when our finance minister Arun Jaitley introduced it in his Budget speech 2015. It was formally announced by our prime minister on 9 may in Kolkata.
The aim of this insurance is to increase the number of people insured in India. At present on 20% people are only covered by insurance. Most of the people can’t take the insurance as they cannot pay the high premium amount charge by the insurance company.
Features of this plan–
|Age at Entry||Minimum: 18 years (Age last birthday)
Maximum: 50 years (Age nearest birthday)
|Maximum Maturity Age||55 years (Age nearest birthday)|
|Policy Term||One year renewable|
|Sum Assured||Rs. 200,000 (Two lakhs only)|
|Premium Amounts||Rs. 330 /- (Exclusive of Service tax* and inclusive of Rs. 41 towards administrative charges of participating banks).|
|Lien Period||45 days from the date of enrolment into the scheme (entry date/date of commencement of insurance cover)|
The premium amount is negligible in comparison to the amount charge by the insurance company. This scheme will be for the people whose account are under Pradhan mantri jan dhan yojana. The amount of the premium is directly debited from the bank account. Most of the accounts are zero balance initially but the government is trying to reduce such accounts which are related to this scheme.
The key highlights of this plan–
- Giving protection at affordable cost.
- The processing of this plan is instant and hence no medical examination is required for it.
- Easy enrolment is required to get this insurance plan and that is by filling a simple form.
Benefits– this is such plan which are having lots of benefit like
- Death benefit- if during the period of cover, unfortunately the insured members dies then a assured sum is paid to its nominee. The maximum sum which can be paid to a person covered by Pradhan Matri Jeevan Jyoti Bima Yojana is 2 lakhs. The sum cannot exceed this value even if the member is covered through multiple bank accounts or by multiple insurers. If any such case exists then the claim will be paid by the first application firm.
- Maturity or surrender benefit- there is no such benefit under this plan.
- Enrolment- the date of commencement of insurance is the date of debit of premium for subsequent years from the insured member account. It means that on the same year every year the money will be debited and the plan will be renewed. The amount of the premium can change as specified by the government of India. If any member wishes to join the plan, he can enrol online and can do the payment. As soon as the payment is received, the plan will be activated. The rules for enrolment can also change from time to time depending on the government of India.
- Exclusions- for the member who are enrolling to the account and has not completed 45 days in the plan, they won’t be entitled for any risk. Even in case of death (except by accident) a person won’t be applicable for any claim.
- Tax benefit- the tax benefit will be for the people who are taking this plan. The amount off benefit will depend on the rules applicable under Income tax laws in India. It also subject to changes from time to time. So a person should contact his tax advisor before investing in it.
To get covered under this scheme a person has to fill a form.
This form is application form and is filled by a person at the time of joining the plan. As it is the plan which is by the government of India and is for people all over the India, so it is available in all language. A person can fill it in the language known to him.
In the same way there is also a claim form which a person need if he want claim for himself. He needs to fill in all the details asked in it and can take away the money after depositing it. it is also available in all the language in which enrolment form are there.
It is totally the plan for the people of the country and no one can stop any body by using it. The benefit which is offered by it is lot more than the premiums given. It is a great step by the government and everybody should make use of it. The benefits given in it is difficult to get from a normal insurance company. Hence people should come forward and take it for them so that every human should be insured.