PMSBY: Pay just Rs 12 per year for insurance cover of up to 2 lakh

What’s good at Rs 12 nowadays? Even a cup of excellent tea prices Rs. Not present in 12. In such a scenario, if the price of insurance coverage protection is simply Rs 12, is it a matter of happiness? We’re speaking about the Prime Minister’s Safety Insurance Scheme (PMSBY). It is a plan that insuring the frequent man at a really low premium. The aim of the scheme within the days of this Koro epidemic is that even the poorest person in the nation can get insurance coverage in order that there is no financial hardship during any accident in his life.

PMSBY eligibility:

The scheme is available to people in the age group 18 to 70 years with a bank account who give their consent to join/ enable auto-debit on or before 31st May for the coverage period 1st June to 31st May on an annual renewal basis. In case of multiple saving bank accounts held by an individual in one or different banks, the person is eligible to join the scheme through one savings bank account only.

Who will get the benefit of this scheme?

The advantages of Pradhan Mantri Suraksha Bima Yojana could be availed by any citizen from the age of 18 to 70 years. On this plan, the insurer has to pay a premium of Rs. 1 per month.

Documents required:

Aadhar would be the primary KYC for the bank account. 

PMSBY Enrolment period:

The insurance cover is for a one-year period, starting June 1 to May 31 of the subsequent year. The option to join/pay by auto-debit has to be given by May 31 of every year. Subscribers who wish to continue beyond the first year have to give their consent for auto-debit before May 31 for successive years. The cover will be in addition to any other insurance plan the subscriber has.


The risk coverage under the scheme is Rs 2 lakh for accidental death and full disability and Rs 1 lakh for partial disability. A premium of mere Rs 12 per annum is deducted from the account holder’s bank account through ‘auto-debit’ facility in one installment. Only death and disability arising out of accident are covered under this scheme. Death due to natural reasons such as heart attack is excluded. 

It is important that you simply all the time maintain a minimum amount within the savings account as per the rules of the bank. If for some purpose the auto-debit of the premium fails, your insurance coverage cowl will expire.

Major benefits of PMSBY scheme:

Since the claim amount can be availed by the family, the benefits can be availed by the nominee in case the insured person passes away. The scheme provides flexibility to continue or discontinue after one-year completion. The scheme offers accident insurance policy without spending much as compared to other policies. The scheme has the benefit of auto-debit of premium from the bank account so one does not have to worry about regular payment. The low price policy can also help people save taxes.

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