Rs 20 a Year Gets You Rs 2 Lakh Cover: Who Qualifies for PMSBY

Bank account holders across India can secure accidental death and disability cover for just Rs 20 a year under the Pradhan Mantri Suraksha Bima Yojana (PMSBY), a scheme run by the Ministry of Finance. Anyone with a savings account at a participating bank or post office, aged between 18 years (completed) and 70 years (age nearer birthday), can join by giving consent to enable auto-debit of the annual premium from their account.

The cover itself is structured around the severity of the accident. If the account holder dies, the nominee receives Rs 2 lakh. The same Rs 2 lakh payout applies for total and irrecoverable loss of both eyes, loss of use of both hands or feet, or loss of sight in one eye combined with loss of use of a hand or foot. A lower payout of Rs 1 lakh applies for total and irrecoverable loss of sight in one eye or loss of use of one hand or foot. The scheme does not cover deaths by suicide, and disability without irrecoverable loss of an eye, hand, or foot does not qualify for a payout either.

Enrolment can be completed offline or online. To apply offline, applicants can visit the bank branch where they hold a savings account, or download the enrolment form from the official Jansuraksha portal at jansuraksha.gov.in/Forms-PMSBY.aspx. Once the form is filled in with the required details and submitted to the bank along with the necessary documents, the subscriber receives an acknowledgement slip that also serves as the certificate of insurance. Coverage runs for one year, from June 1 to May 31, with the annual premium of Rs 20 auto-debited from the linked account on or before June 1 of each coverage period.

Cover automatically ends once the account holder turns 70, or if the bank account is closed or lacks sufficient balance to keep the auto-debit active. Anyone enrolled in PMSBY through more than one account by mistake will have their cover capped at Rs 2 lakh, since only one claim per person is permitted regardless of how many accounts or banks are involved. Those who miss enrolling in the scheme’s initial year, or who exit and want back in later, can rejoin in subsequent years by paying the premium through auto-debit, subject to the terms in place at the time.

Claims can be filed by the nominee named on the enrolment form, or by the legal heirs if no nomination was made. Disability claims are credited directly to the insured account holder’s bank account, while death claims go to the nominee or legal heirs. For accidents such as road, rail, or similar vehicular incidents, drowning, or any incident involving a possible crime, applicants are expected to have the accident reported to police; incidents such as snake bite or a fall from a tree instead need to be backed by immediate hospital records. Support is available through a national toll-free number, 1800-180-1111 or 1800-110-001, along with state-specific toll-free numbers listed on the Jansuraksha portal.

PMSBY is administered by the Ministry of Finance, Government of India, and enrolment runs through participating banks and post offices nationwide. Source: myscheme.gov.in

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