Pradhan Mantri Jeevan Jyoti Bima Yojana(PMJJBY)

MAY 12

Preliminary   > Social Justice   >   Welfare Schemes   >   Vulnerable & Backward sections

Why in news?

  • Pradhan Mantri Jeevan Jyoti Bima Yojana(PMJJBY) has completed 7 years of providing social security benefits.

About Pradhan Mantri Jeevan Jyoti Bima Yojana(PMJJBY)

  • PM Jeevan Jyoti Bima Yojana was established to provide life insurance security to the poor and low-income section of the society
  • Eligibility :
    • Available to people in the age group of 18 to 50 and having a bank account.
    • People who join the scheme before completing 50 years can, however, continue to have the risk of life cover up to the age of 55 years subject to payment of premium.
  • Premium :
    • Rs.330 per annum.
    • The premium will be directly auto-debited by the bank from the subscribers account in one installment.
  • Risk Coverage :
    • Rs.2 Lakh in case of death for any reason.
  • Terms of Risk Coverage :
    • A person has to opt for the scheme every year.  He can also prefer to give a long-term option of continuing, in which case his account will be auto-debited every year by the bank.
  • Implementing Agency:
    • The scheme will be offered by Life Insurance Corporation and all other life insurers who are willing to join the scheme and tie-up with banks for this purpose.
  • Government Contribution:
    • Various Ministries can co-contribute premium for various categories of their beneficiaries out of their budget or out of Public Welfare Fund created in this budget out of unclaimed money.  This will be decided separately during the year.
    • Common Publicity Expenditure will be borne by Government.

PRACTICE QUESTION:

Consider the following statements regarding PM Jeevan Jyoti Bima Yojana

1. It provide life insurance security to the poor and low-income section of the society

2. The entire amount of premium is borne by central government

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Answer