₹20 Premium Insurance: Get ₹2 Lakh Accident Cover with PMSBY

Unexpected accidents can create serious financial problems for families. To provide affordable protection, the Government of India introduced the Pradhan Mantri Suraksha Bima Yojana (PMSBY).

The most surprising part of this scheme is its very low premium. By paying just ₹20 per year, eligible citizens can receive accident insurance coverage of up to ₹2 lakh.

In today’s world, even a small expense like a cup of tea costs around ₹20. But the same amount can secure your family financially if something unexpected happens.

What is Pradhan Mantri Suraksha Bima Yojana (PMSBY)?

Pradhan Mantri Suraksha Bima Yojana is a government-backed accident insurance scheme designed mainly for low-income individuals, workers in the unorganized sector, and small salaried employees.

However, the scheme is open to all Indian citizens aged between 18 and 70 years who have a savings account.

This scheme helps families receive financial support in case of accidental death or disability.

Key Features of PMSBY

• Annual Premium: ₹20 per year

• Accidental Death Coverage: ₹2,00,000

• Permanent Total Disability: ₹2,00,000

• Partial Disability Coverage: ₹1,00,000

• Policy Period: June 1 to May 31 every year

• Premium Payment: Auto-debit from bank account

The premium amount is automatically deducted from the policyholder’s bank account every year.

Insurance Coverage Details

Under this scheme, the financial benefits depend on the nature of the accident.

Accidental Death

If the insured person dies due to an accident, the nominee receives ₹2 lakh.

Permanent Total Disability

Loss of both eyes, both hands, or both legs is considered permanent disability. In such cases, ₹2 lakh compensation will be provided.

Partial Disability

Loss of one eye, one hand, or one leg is treated as partial disability, and the insured person receives ₹1 lakh compensation.

 

Eligibility Criteria for PMSBY

To enroll in this scheme, the applicant must meet the following conditions:

• Age should be between 18 and 70 years

• Must have a savings bank or post office account

• Aadhaar linking with the bank account is recommended

• Only one policy per person is allowed even if multiple bank accounts exist

How to Register for PMSBY

Joining the PMSBY scheme is simple and quick.

• Offline Registration

• Visit your nearest bank branch.

• Fill out the PMSBY application form.

• Submit the form and give consent for auto-debit.

Online Registration

People using net banking or mobile banking can enroll online.

• Steps usually include:

• Log in to your bank’s net banking account

• Go to the Insurance section

• Select the PMSBY scheme

• Confirm auto-debit authorization

The annual premium of ₹20 is automatically deducted between May 25 and May 31.

Claim Process for PMSBY

If an accident occurs, the claim process should be initiated quickly.

• Inform the bank within 30 days of the accident

• Submit required documents

Important documents may include:

• FIR copy

• Postmortem report (in case of death)

• Death certificate

• Medical documents

Once verified, the insurance amount will be credited to the nominee or beneficiary.

Important Things to Know

• This scheme covers only accidental death or disability

• Death due to natural causes or illness is not covered

• Policy must be renewed automatically every year through auto-debit

FAQs

1. What is the premium amount for PMSBY?

The premium is ₹20 per year, which is automatically deducted from the bank account.

2. Who can apply for PMSBY?

Any Indian citizen aged 18 to 70 years with a savings bank account can enroll.

3. What is the maximum insurance coverage?

The scheme provides up to ₹2 lakh accident insurance coverage.

4. Can a person enroll through multiple bank accounts?

No. Even if a person has multiple accounts, only one PMSBY policy is allowed.

5. Does PMSBY cover natural death?

No. The scheme covers only accidental death or disability.

Conclusion

Accidents can occur at any time, and their impact on families can be devastating. The Pradhan Mantri Suraksha Bima Yojana offers an affordable way to protect your loved ones financially.

With a premium of just ₹20 per year, this scheme provides ₹2 lakh accident insurance coverage, making it one of the most affordable insurance options available in India.

If you have a bank account and are eligible, enrolling in PMSBY is a simple step that can provide peace of mind and financial security for your family.