Introduction
India’s journey toward inclusive financial security took a significant leap with the introduction of the Pradhan Mantri Suraksha Bima Yojana (PMSBY). This government-backed scheme reflects the commitment of the Government of India to provide accidental insurance coverage to citizens at a nominal premium, ensuring that financial protection is accessible to every section of society, especially the vulnerable and low-income groups.
About
Pradhan Mantri Suraksha Bima Yojana (PMSBY) is an annual accidental insurance scheme, launched on 9th May 2015, under the broader umbrella of Jan Suraksha schemes, aimed at expanding social security in India. This scheme provides renewable insurance coverage for accidental death and disability at a minimal cost of ₹20 per annum.
The scheme is one of the three major social security initiatives launched simultaneously — the other two being Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Atal Pension Yojana (APY).
Objectives
The primary objectives of PMSBY are:
- To provide a universal and affordable accident insurance policy to all citizens.
- To offer financial security in case of death or disability due to accidents.
- To promote the culture of insurance among people, particularly those in the unorganised and informal sectors.
- To strengthen financial inclusion, especially by leveraging the success of the Pradhan Mantri Jan Dhan Yojana (PMJDY).
Implementing Agencies
PMSBY is administered through a collaborative framework:
- Implementing Insurers:
- Primarily Public Sector General Insurance Companies (PSGICs) and other general insurance companies approved by the Government of India.
- Distribution Channels:
- Participating banks and post offices act as the main enrollment and premium collection centers.
- Regulatory Oversight:
- Supervised by the Ministry of Finance, Government of India.
Eligibility Criteria
To enroll in PMSBY, the individual must meet the following criteria:
| Parameter | Requirement |
|---|---|
| Age | Between 18 to 70 years |
| Account Type | Must have a savings bank or post office account |
| Consent | Must consent to auto-debit of the annual premium |
| Citizenship | Open to all Indian citizens and NRIs with a valid savings account |
Note: Multiple bank accounts are not allowed for multiple subscriptions. Only one PMSBY policy per individual is permitted.
Insurance Coverage & Premium Details
| Type of Cover | Coverage Amount |
|---|---|
| Accidental Death | ₹2,00,000 |
| Total and Irreversible Disability | ₹2,00,000 |
| Partial and Irreversible Disability | ₹1,00,000 |
- Annual Premium:
- ₹20 per member
- Payment Mode:
- Auto-debited from the subscriber’s savings account once a year, preferably before 1st June.
Enrollment Process
- Enrollment Period: Annual coverage from 1st June to 31st May, renewable every year.
- How to Enroll:
- Visit your bank branch, post office, or enroll through online banking/mobile apps.
- Submit the consent form with the auto-debit authorization.
- Provide Aadhaar-linked bank account details.
- Exit/Termination:
- Upon attaining 70 years of age.
- Closure or insufficient balance in the savings account.
- If found to be enrolled in multiple banks.
Key Achievements (As of April 2025)
| Metric | Details |
|---|---|
| Total Enrollments | Over 51.06 crore individuals |
| Women Beneficiaries | Approximately 23.87 crore |
| Claims Honored | 1,57,155 claims settled |
| Amount Disbursed | ₹3,121.02 crore to beneficiaries |
| Linked with PMJDY Accounts | Around 17.12 crore |
Source: Press Information Bureau (PIB), April 2025
Impact and Significance
1. Financial Inclusion
PMSBY has brought crores of Indians, particularly from rural and low-income households, into the fold of formal insurance coverage.
2. Women Empowerment
With nearly 24 crore women enrolled, PMSBY plays a vital role in promoting gender-inclusive financial protection.
3. Integration with PMJDY
Linking PMSBY with Pradhan Mantri Jan Dhan Yojana accounts has enabled seamless coverage, benefiting the poorest segments of society.
4. Responsive to Disasters
The scheme has been instrumental in supporting families affected by natural disasters and road accidents, where accidental deaths and disabilities are common.
Challenges
Despite the vast reach and benefits, the scheme faces a few challenges:
| Challenge | Explanation |
|---|---|
| Low Awareness | Many potential beneficiaries are unaware of the scheme. |
| Insufficient Premium Pool | The ₹20 premium limits the sustainability for insurers. |
| Claim Settlement Delays | In some regions, claims processing takes longer due to documentation gaps. |
| Rural Connectivity Issues | Lack of digital literacy and banking access in rural areas. |
Government Measures to Improve the Scheme
The Government of India, along with banks and insurers, is taking the following steps:
- Digital enrollment drives through mobile apps and online banking.
- Awareness campaigns via radio, TV, and rural outreach.
- Simplification of claim settlement procedures and faster grievance redressal.
- Increased monitoring and integration with Aadhaar and Jan Dhan accounts.
Claim Settlement Process
- Intimation of Claim: To be given to the bank branch where the insured holds an account.
- Documents Required:
- Duly filled claim form
- Death certificate/disability certificate
- FIR/panchnama in case of accidental death
- Discharge receipt and KYC of nominee
- Processing Timeline:
- Claims are generally settled within 30 days of submission of complete documents.
Conclusion
The Pradhan Mantri Suraksha Bima Yojana stands as a remarkable example of inclusive governance and citizen-centric welfare. It ensures that financial hardship due to accidental death or disability does not derail the lives of poor families. With affordable premiums, massive outreach, and robust claim settlements, PMSBY continues to protect millions and uphold the vision of a socially secure India.
