The Pradhan Mantri Jeevan Jyoti Bima Yojana is a government-backed life insurance initiative in India. It was first announced by the late Finance Minister Arun Jaitley during the 2015 Budget speech in February 2015 and was formally launched by Prime Minister Narendra Modi on 9 May 2015 in Kolkata. As of May 2015, only 20% of India’s population had any form of insurance, and this scheme aims to significantly increase that number.
Pradhan Mantri Jeevan Jyoti Bima Yojana : Features
- Eligibility
All Savings Bank Account holders in the age 18-50 years can join this scheme. In case of multiple saving bank accounts held by an individual in one or different banks, the person would be eligible to join the scheme through one savings bank account only. - Policy period
From 1st June to 31st May of subsequent year. - Premium
Renewal of policy from next year payable @ Rs. 436 per annum but payment of pro rata premium for enrolment under PMJJBY will be charged as per the following rates:
| Enrollment Period | Applicable Premium |
| June, July, August | Annual Premium of Rs. 436. |
| September, October & November | 3 quarters of premium @Rs.114 i.e. Rs.342. |
| December ,January & February | 2 quarters of premium @Rs.114 i.e. Rs. 228. |
| March, April & May | 1 quarter premium i.e. Rs.114. |
Termination of Assurance
The assurance on the life of the member shall terminate on any of the following events and no benefit will be payable under the following scenarios:
- On attaining age 55 years (age neared birth day) subject to annual renewal up to that date (entry, however, will not be possible beyond the age of 50 years).
- Closure of account with the bank or insufficiency of balance to keep the insurance in force.
- In case of multiple coverage under the scheme, insurance cover will be restricted to Rs. 2 lakhs and the premium shall be liable to be forfeited.