Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)

A large portion of India’s population (80%) is without insurance of any kind i.e health, accident, or life. Therefore in the year 2015, the Finance Minister announced PMJJBY along with 2 other schemes in his budget speech.

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) is a life insurance scheme in India backed by the Government. The life insurance scheme is valid for one year and is renewable from year to year, offering coverage in case of sudden death.

How does the scheme work?

The scheme is applicable for a period of one year. The scheme will be offered by the LIC and all insurers who are willing to join the scheme. Bank will be the master policyholder and will execute the claim and issue the scheme on the insurance company’s behalf.

This cover is only for death and hence the benefit will accrue to the nominee on death of the policyholder. Therefore, it covers morality and no investment component. 

The current risk period is from the 1st of June to the 31st of May. . The same will be renewable yearly.  Delayed enrolment for prospective cover is possible with payment of pro-rata premium as described below;

Simply put the premium amount that you have to pay will depend upon in which quarter you enroll for the scheme. Where you enroll in:

  • June, July & August: Annual Premium of INR 330 is payable
  • September, October & November: Annual Premium of INR 258 is payable
  • December, January & February: Annual Premium of INR 172 is payable
  • March, April & May: Annual Premium of INR 86 is payable

A Lien period of 45 days shall be applicable from the date of enrolment. However, deaths due to accidents will be exempt from the lien clause, the Reserve Bank of India said in a note.

The cover shall be for a one-year period stretching from 1st June to 31st May for which the option to join/pay by auto-debit from the designated individual bank / Post office account on the prescribed forms will be required to be given by 31st May of every year. Delayed enrollment for prospective cover is possible with payment of a pro-rata premium as laid down in the above parameter. 

There is a waiting period of 30 days in the insurance policy when you first apply for it, which means, If you are enrolling for the first time on or after 1st June 2021, the insurance cover shall not be available for death (other than due to an accident) occurring during the first 30 days from the date of enrolment into the scheme (lien period) and in case of death (other than due to accident) during lien period, no claim would be admissible. 

If you exit the scheme at any point you may rejoin the scheme in future years. 

In future years, new entrants into the eligible category or currently eligible individuals who did not join earlier or discontinued their subscription shall be able to join while the scheme is continuing, subject to the 30 days lien period described above.


The total death benefit provided is INR 2 Lakhs. In case of death of the insured, the nominee can claim the amount, which would be tax-free. The claim process is also simple and hassle-free. 


To avail of benefits, you must fulfill the below requirements:

  1. Must be a citizen of India.
  2. Must be between the age of 18-50
  3. Must have a bank account/post office account linked with your Aadhar
  4. Must have a valid mobile number

Note: The PMJJBY may be terminated if:

  • An insured person crosses the age of 55 years
  • Closure of accounts with the Bank/ Post office or insufficiency of balance to keep the insurance in force.


Pradhan Mantri Suraksha Bima Yojan (PMSBY)

Pradhan Mantri Suraksha Bima Yojana offers a renewable one-year accidental death and disability cover of Rs 2 lakh at Rs 12 premium every year. You will get Rs 1 lakh in case of partial permanent disability.

The entry age of the scheme ranges from a minimum of 18 to a maximum of 70 years old.

How to apply?

You can get PMJJBY as well as PMSBY via LIC or any other life insurance company in India. Also, many banks have the facility for PMJJBY & PMSBY at their branches. 

The enrollment process is quite simple:

  1. Download the application form from jansuraksha.gov.in/FORMS.aspx 
  2. Submit the duly filled form with your bank
  3. Submit the necessary documents
  4. Upon verification, you will be successfully registered

Most banks also offer an SMS-based enrollment process.  Check with your banks for the details on the same and proceed with the application. You can also apply for it from your bank's official website.

How to get the benefit? 

  1. Nominee to approach the bank where the subscriber opened the scheme with a 'savings bank account' along with the death certificate of the member.
  2. Nominee to collect claim form, and discharge receipt from the bank or any designated source like insurance company branch, hospital, etc. including from designated website
  3. After that, the nominee will have to submit the filled claim form and the discharge receipt, along with the death certificate with a photocopy (Xerox copy) of the canceled cheque of the nominee's bank account or the subscriber's PMJJBY linked bank account. 

Then the bank will start the procedure of insurance claim. The bank is expected to process it within 30 days to forward the completed claim form to the insurance company. 

The union government has incorporated all the insurance-related information on this website - www.jansuraksha.gov.in

Wealth Cafe Advice:

Let us take an example of a regular life insurance scheme vs PMJJY and understand its benefits in a better way:

Current Age2727
Years of contribution until age  552828
CoverINR 5,00,000INR 2,00,000
Annual ContributionINR 5000INR 330
Total contributionINR 1,40,000INR 9,240
Annualized Return5%12%


Please note that this to give you an idea that INR 2 lakhs may not seem enough for your insurance needs but the scheme is a very good scheme in perspective of the benefits it is providing to a larger section of the society who do not have any access to any insurance currently.  It is a great option to cover yourself and your loved ones, you must apply for it, in fact, ask your team member, help and other people around you to also apply for this scheme. 

Having a government-backed scheme to financially protect your loved ones in case anything were to happen to you is a wise decision, especially if you belong to the low-income category. 

You can also check for other 2 benefits provided by the government:

  1. Atal Pension Yojana
  2. Pradhan Mantri Jan Arogya Yojana (PMJAY)
  3. Sukanya Samriddhi Yojana
  4. Pradhan Mantri Shram Yogi Maan-Dhan
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