Pradhan Mantri Suraksha Bima To Jan Dhan: Know All About These Insurance, Banking Services, Loan Schemes

Pradhan Mantri Suraksha Bima Yojana (PMSBY), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Jan Dhan Yojana (PMJDY) and Pradhan Mantri Mudra Yojana (PMMY) are four schemes now available to the general public that aim to provide multiple benefits including better coverage in case of accidents, access to banking services, and credit provision for small and micro entities.

If you want to access these benefits, just check out the eligibility criteria in these PM schemes:

Pradhan Mantri Suraksha Bima Yojana (PMSBY)

Pradhan Mantri Suraksha Bima Yojana insurance scheme offers cover for death or disability due to an accident. The annual premium is Rs 20, which will be deducted from the account holder's bank or post office account through ‘auto debit' facility.

Coverage under PMSBY is valid for one year from June 1 to May 31 on payment of the annual premium. The accident cover shall be terminated or restricted when the member attains 70 years of age. Cover will also be closed with the closure of bank account or insufficient balance.

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)

Pradhan Mantri Jeevan Jyoti Bima Yojana is a one-year life insurance cover, renewable annually.

The scheme is offered to individuals between the ages of 18 to 50 years and administered by life insurance companies in collaboration with participating banks and post offices.

PMJJBY offers one-year term life cover of Rs 2 lakh, and it covers death due to any reason. The premium payable is Rs 436 per annum. Application can be done online and offline.

Pradhan Mantri Jan Dhan Yojana (PMJDY)

The National Mission for Financial Inclusion, also known as Pradhan Mantri Jan Dhan Yojana, was launched in August 2014. The plan envisages universal access to banking facilities with at least one basic banking account for every household, financial literacy, access to credit, insurance and pension facility.

PMJDY scheme was extended beyond August 2018 with the focus on every unbanked adult.

The scheme also provides accidental insurance cover of Rs 1 lakh to Rs 2 lakh to RuPay card holders.

Under the scheme, a basic savings bank deposit account can be opened in any bank branch or business correspondent (bank mitra) outlet by persons not having any other account.

Pradhan Mantri Mudra Yojana (PMMY)

Pradhan Mantri Mudra Yojana is a scheme that facilitates micro credit or loans up to Rs 10 lakh to income-generating micro enterprises. They should be engaged in non-farm sectors like manufacturing, trading or service sectors, including activities allied to agriculture.

The micro and small entities intended to benefit are proprietorship or partnership firms like vegetable vendors, truck operators, food-service units, repair shops, machine operators, artisans, food processors and others.

The loans under PMMY can be availed through eligible Member Lending Institutions, which include public and private sector banks, state-operated cooperative banks, rural banks and micro finance institutions.

The interest rates are declared by Member Lending Institutions from time to time based on repo rates. The processing charges for loans up to Rs 50,000 are waived by most banks.