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PMSBY: Pradhan Mantri Suraksha Bima Yojana explained
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PMSBY, the Pradhan Mantri Suraksha Bima Yojana, is a government-backed accident insurance scheme. It pays a lump sum if the insured person dies or suffers a disability because of an accident. It was launched on 9 May 2015, the same day as PMJJBY and the Atal Pension Yojana, and is offered through banks and post offices with general insurance companies.
Key features
| Feature | Detail (as of the 2022 revision) |
|---|---|
| Accidental death | ₹2 lakh |
| Total permanent disability | ₹2 lakh (for example loss of both eyes, both hands or both feet, or loss of one hand and one foot) |
| Partial permanent disability | ₹1 lakh (for example loss of sight in one eye, or loss of use of one hand or foot) |
| Age to join | 18 to 70 years |
| Premium | ₹20 per year, auto-debited |
| Policy year | 1 June to 31 May |
The premium rose from ₹12 to ₹20 in June 2022. Check the current terms at jansuraksha.gov.in, because they can be reviewed.
Who can join
Anyone aged 18 to 70 with a savings account at a participating bank or post office, who agrees to an auto-debit of the premium. An individual can hold the scheme through only one account. Cover ends if the person's account is closed, if there is not enough balance for the premium, or if the person turns 70 (the cover ceases at age 70).
Key difference from PMJJBY
PMSBY covers accidents only, with a very low premium and a wide entry age range. PMJJBY covers death from any cause with a higher premium and a lower age ceiling. A person can hold both. Illness, natural death and suicide do not fall under PMSBY.
Example
Ramesh, a 35-year-old auto driver, pays ₹20 a year. If he loses sight in one eye in a road accident during the policy year, the claim is ₹1 lakh for partial permanent disability, paid to him. If the accident leads to his death, the nominee receives ₹2 lakh.
How bank exams ask about it
Look for the launch date, the cover (₹2 lakh and ₹1 lakh), the age limit (18 to 70), the premium and the policy year. A common trap is mixing it with PMJJBY. Stems often read "an accident insurance scheme for bank account holders". Revise it in the insurance cluster in banking awareness. The insurance rules come from IRDAI.
Frequently asked questions
Does PMSBY cover death by illness?
No. Only accidental death and disability.
Who gets the money after an accidental death?
The nominee named in the enrolment form, through the bank's claim process.
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