Government Schemes: Ten years ago, Narendra Modi’s administration took charge at the national level. The late Arun Jaitley was in charge of the Finance Ministry. In May 2015, he introduced three initiatives aimed at benefiting the general public: the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), the Pradhan Mantri Suraksha Bima Yojana (PMSBY), and the Atal Pension Yojana (APY). Due to the remarkable success of these initiatives, the government is now contemplating an increase in the insurance and pension amounts.

What does the government have to say

In a statement to reporters yesterday, M. Nagaraju, Secretary of the Financial Services Division or Banking Division at the Union Finance Ministry, remarked, “These three schemes are crucial for financial inclusion. To date, approximately 57 crore adults nationwide have signed up for these programs. There is a demand for enhanced coverage under these schemes. If all goes well, we might also revise some of the benefits currently offered under these schemes.”

Is the insurance amount in PMJJBY Rs 5 lakh?

Reports suggest that the existing limit of Rs 2 lakh under the PMJJBY scheme could potentially be raised to Rs 5 lakh. Recently, the government circulated a document among insurance companies, inquiring about the consequences of increasing the insured sum to Rs 5 lakh.

What will the premium be for the increased coverage?

The Banking Secretary stated, “We are evaluating various options. We are considering whether the proposed premium is manageable, what the costs will be, and the intermediation costs of the agencies that will implement it. Once it receives approval, everyone will be informed.”

These schemes were launched 11 years ago

Individuals who are employed benefit from life and accident insurance, along with pension benefits. However, there is no social security framework for those in the unorganized sector, daily wage workers, or self-employed individuals. These three schemes were initiated on May 9, 2015, under the guidance of then-Finance Minister Arun Jaitley, to offer them insurance coverage and pension benefits.

What is the premium of these plans now?

At present, under the Pradhan Mantri Jeevan Jyoti Bima Yojana, life insurance of Rs 2 lakh is provided to persons between 18 to 50 years of age.
Its annual premium is Rs 436 or Rs 1.20 per day.
Under the Pradhan Mantri Suraksha Bima Yojana, accidental insurance cover of Rs 2 lakh is available at an annual premium of Rs 20.
Persons registered under the Atal Pension Yojana get a guaranteed pension of Rs 1,000 to Rs 5,000 every month after completing 60 years of age.
The age limit for joining this scheme is 18 years to 40 years.