PM Jeevan Jyoti Bima Yojana

30 Aug 2021

Curtain Hug

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) is a renewable insurance plan, launched
in 2015, for everyone with a savings account. The plan provides an insurance of Rs 2,00,000
per year for those who sign up for that particular plan.
The plan aims to promote insurance protection for the poor and low-income groups in
society. Pradhan Mantri Jeevan Jyoti Bima Yojana can be used by people from 18 to 50 years
old.
PMJJBY is an unrelated, non-participated one-year group. A term insurance product that can
be renewed annually. This product is designed by an insurance company Meet the
requirements of the Indian government "Pradhan" Mantri Jeevan Jyoti Bima Yojana"
(PMJJBY). This plan is managed by the bank and is managed by Planning rules set by the
Indian government hour. Banks, insurance companies and customers are the main bets. The
holder of this product, customers can get low cost Small insurance money, the bank charges a
commission. Revenue from selling this product to existing customers Increase revenue and
the basis of third-party insurance. Companies conduct business without involving their
people. The power of the three stakeholders to become the beneficiaries this time Program.

About PMJJBY:
PMJJBY represents Pradhan Mantri Jeevan Jyoti Bima Yojana. Finance Minister Arun Jaitley
announced the launch of the plan is the 2015 budget. PMJJBY provides insurance in the
event of death for any reason. This yojana was launched with two other insurance plans
Pradhan Mantri Suraksha Bima Yojana and Atal Pension Yojana to accelerate the expansion
of insurance in India and meet the needs of ordinary people.
KEY OBJECTIVES OF PMJJBY:
● The policy provides 1 year of coverage.
● Renewability is available.
● People can leave the plan at any time and join the plan in the future.
● Participating banks will be the main insured of the plan.
● Provide a simple and user-friendly insurance claim resolution process.
● If the person is 55 or older, the member is covered by more than one bank account,
and the balance in the savings account is insufficient for the insurance to be valid, the
death insurance provided by the plan will terminate.
● People who do not enroll in the plan during the first year can enroll in the plan with
annual premiums in subsequent years and submit a self-certification of their health
status.
● The program will be open to new eligible applicants in the coming years.
ENROLLMENT PERIOD:

The guarantee period is from June 1st to May 31st of the following year. For the coverage
period from June 1, 2021 to May 31, 2022, subscribers must register and agree to automatic
deductions before May 31, 2021. Those who join later can pay the annual premium for future
protection.
PMJJBY is suitable for individuals who are between 18-50 years old (life insurance to 55
years old), have a savings account and agree to join and enable automatic debit. If a person
has multiple accounts at one or different banks, they will be eligible to join the plan through a
single savings account.
Using the PMJJBY, you can get the life insurance of 2,00,000 rupees mentioned above, and
each member pays 330 rupees a year and the insurance can be renewed every year. In the case
of a joint account, all owners of that account meet the eligibility criteria and are eligible to
participate in a program that pays a premium of Rs 330 per person per year.
According to the ICICI Bank website, starting September 1, 2018, the Ministry of finance has
changed its premium payment structure quarterly based on the date the account holder joined
the scheme. The modified structure is as follows:
● June, July, August: Annual premium Rs 330 is to be paid.
● September, October, November: Premium of Rs 258 is to be made.
● December, January, February: Premium of Rs 172 is payable.
● March, April, May: Premium of Rs 86 payable.
The structure of the new premium can be explained as follows: Suppose the account owner
initiates a request for the PMJJY scheme on August 31, 2018. In this case, an annual
premium of 330 rupees will be applied during the year but the withdrawal from the account
will be completed in September.
On the other hand, if the account holder is required to have the PMJJY scheme on September
1, 2018, the proportional premium of Rs 258 will be applied based on the modified structure.
Check the bank records to see that the mobile number has been updated. No policy will be
issued once the mobile number is updated from the Savings Bank account.
Eligibility Criteria:
● Any savings account holder between the ages of 18 and 50 can choose this plan
through participating banks.
● Even if they have multiple bank accounts, they can subscribe to this plan through a
savings bank.
● The Aadhar card associated with your participating bank account is required to
receive the benefits of the program.
● Those who adhere to the program after the initial registration period before August
31, 2015 or November 30, 2015 must present a health self-certification stating that
they do not suffer from any of the serious illnesses mentioned in the form statement.

How to Enroll for PMJJBY Scheme?
One can join the PMJJBY plan with the help of an insurance company. The plan will be
provided by public life insurance companies such as Indian Life Insurance Company (LIC) or
other general insurance companies that have partnerships with banks. The PMJJBY plan is
effective from June 1, 2015. Participating banks may choose to include any life insurance
company to implement the plan for their subscribers. Aadhar would be the primary KYC for
the bank account.
BENEFITS OF PRADHAN MANTRI JEEVAN JYOTI
BIMA YOJNA:

The following are the benefits of this yojana-
1. Death Benefit: If the insurance holder dies, PMJJBY will provide the policy nominee

with a death benefit of Rs 200,000.
2. Maturity Benefit: Since this is a pure term insurance policy, PMJJBY does not
provide any survival or maturity benefits.
3. Tax Benefit: According to article 80C of the Income Tax Law, premiums paid for
insurance policies are subject to tax exemption. If the insured does not file the Form
15G \/ 15H, the income from the life insurance policy exceeds Rs. 100,000 will be
taxed at 2%.
4. Risk Coverage: Pradhan Mantri Jeevan Jyoti Bima Yojana provides risk protection for
one year. However, as a policy that is updated every year, it can be updated every
year. In addition, the insured can also choose a longer period of more than 1 year by
selecting the automatic debit option associated with their savings account.
5. Tenure: Pradhan Mantri Jeevan Jyoti Bima provides coverage for 1 year from the
effective date of the policy. However, the insured can renew the PMJJBY interim plan
every year until the age of 55. If the policy holder wants to terminate the policy, then
he can terminate the policy by not renewing the policy. In addition, the insured can
re-enter the policy at any time by paying the premium and presenting a health
certificate.
6. Enrollment Period: The registration period for Pradhan Mantri Jeevan Jyoti Bima
Yojana is from June 1 to June 31 of each fiscal year. During the registration period,
subscribers must register and submit their automatic debit consent form. If a person
wants to buy a policy after June 1, they must pay the one-time premium for the policy
year from the month they enroll.
7. Coverage: Pradhan Mantri Jeevan Jyoti Bima Yojana provided an insurance amount
of Rs 200,000. If the insured person is unsure of his death during the validity period
of the policy, the beneficiary of the plan is protected. Life insurance, which is a death
pension provided to candidates, is tax-exempt. Pradhan Mantri Jeevan Jyoti Bima
Yojana provides a very simple and easy claim resolution process.
MASTER POLICY HOLDER:

Participating Banks will be the Master policy holders. A simple and subscriber friendly
administration shall be provided by the LIC or any other insurance company with accordance
with the participating bank. It should include easy claim settlement also without any
unnecessary disputes.
ROLE OF BANKS:
In addition to being the owner of the master account and deducting In annual premiums,
banks must also perform other functions. It's main responsibility is to transfer the deducted
premiums to the insurance company. They will also have to Please note the following
registration form, such as automatic debit authorization, provided The declaration and
consent form is exactly the same that you must complete. They will get it and they will keep
it, because at the time of a claim or any other occasion If required by the insurance company,
you must provide it to the insurance company.
PAYMENT MODE:
The premium will be automatically deducted by the bank from the bank savings account of
the account holder. For the renewal of the policy, a fee will be automatically charged between
May 25 and 31, unless the customer has submitted a cancellation request to the bank.
WAITING PERIODS FOR CLAIM:
Risk protection under PMJJBY is only applicable after the first 45 days of registration. In
other words, the insurance company does not need to resolve the claim within 45 days from
the date of registration. However, deaths caused by the accident will be exempt from the lien
clause and will still be compensated.

CLAIM SETTLEMENT:
Death claims will be resolved by the corresponding designated insurance company office.
The next process is as follows:

Steps to be taken by nominee-
1. The candidate will contact the bank where the member's "saving bank account" is located,

and PMJJBY will pass the bank account and the member's death certificate.
2. The trustee collects the claim forms and discharge receipts from the bank or any other
designated source such as branches of insurance companies, hospitals, insurance agents, etc.,
even from designated websites.
3. The nominee submits a completed claim form, discharge receipt, death certificate, and a
copy of the nominee's bank account (if applicable) or bank account details to the bank where
the member has a "savings bank account. "through another \/ She is covered by PMJJBY.

Steps to be taken by the bank :
1. After receiving the death notice, the bank must verify whether the member's insurance is
valid on the date of his death, that is, whether the insurance premium is on the annual renewal
date, that is, the 16th month, deducted and remitted to the corresponding member before the
member's death Insurance company.
2. Bank to verify the claim form & all the details of the nominee from the records and fill in
the claim form.
3. The Bank will forward the following documents to the designated office of the relevant
insurance company:
a. Complaint completed
b. Death Certificate
c. Discharge Receipt
d. A copy of the nominee's canceled check (if applicable).
4. The maximum time limit for the bank to send a complete and valid claim to the insurance
company is thirty days from the date of filing the claim.
Steps to be taken at the designated office of Insurance Company:
1. Confirm that the claim form is complete in all aspects and all relevant documents have
been attached. If not, please contact the corresponding bank.
2. If the claim is acceptable, the designated office of the insurer will verify if the member's
insurance is valid and if the member has not submitted death claims through other accounts.
If any claim has been resolved, then the nominee will be notified accordingly with a copy of
the bank's mark.
3. If the insurance is valid and the member has not resolved the claim, the payment will be
issued to the nominee's bank account and a notice will be sent to the nominee, with a copy
indicated at the bank.
4. The maximum period for the insurance company to approve the settlement and payment of
claims is 30 days from the date of receipt of bank claims.
In the case where the claim form is directly submitted to any office of the insurer by the
claimant, then the insurer's office would forward the same to the concerned bank of the
deceased account holder immediately to get necessary verification etc. done from the bank
concerned. The concerned bank branch will forward the claim form to the designated office
of the insurance company for processing the claim.
PREMIUMS:

PMJJBY can be purchased for a premium of Rs 330 per year. The premium will be
automatically deducted from your installment savings account through the automatic debit
option. Premium is due on or before May 31. Under certain terms and conditions, late
payments will be accepted. Based on the annual experience statement, the premium can be
reviewed.
APPROPRIATION OF PREMIUM:
1) Insurance premium from LIC/ insurance company: Rs. 289/- per year per member.
2) BC/ Micro/ Corporate/ Agent expense reimbursement: Rs. 30/ - per year Every member.
3) Reimbursement of administrative expenses to participating banks: 11 rupee/ - per year of
each member.
The proposed start date for the plan is June 1, 2015. The annual renewal date must be every
1st June in subsequent years. The plan can be finalized or terminated before the start of a new
future renewal Date if the situation requires it.
TERMINATION OF ASSURANCE:
The lifetime warranty of the member will be in No benefits will be paid for any of the
following events:
1) 55 years of age or older (the age close to the date of birth) needs to be updated to That date
(however, you will not be able to enter after the age of 50).
2) Close the bank account or the balance is not enough to maintain Current insurance.
3) If the member is covered by PMJJBY and LIC from India\/other companies Collect
premiums through multiple accounts and LIC\/other companies Inadvertently, the insurance
coverage will be limited to Rs. 200,000 and cousin It may be confiscated.
4) If insurance is interrupted due to technical reasons such as insufficient insurance The
balance on the due date or due to any management issues may be Resume after receiving the
full annual premium and a satisfactory declaration of health.
5) Participating banks will remit premiums to insurance companies just in case Regularly
register until June 30th each year, in other cases Received in the same month.
ADMINISTRATION:
The programme will be administered by the LIC P&GS Units Or other insurance company
arrangements, subject to the foregoing. Separately, the data flow method and data proforma
will be notified. The partnering bank will be responsible for collecting the necessary annual
premium in one payment from account holders on or before the due date via the ‘auto-debit'

mechanism. Members may also give a one-time mandate for auto-debit every year till the
scheme is in force.
The participating bank must receive and preserve an enrollment form, an auto-debit
authorisation, and a consent cum Declaration form in the approved proforma. In the event of
a claim, the LIC or insurance company may request that it be submitted. The LIC/Insurance
Company retains the right to request these documents at any time. The acknowledgement slip
can be combined with a certificate of insurance to create an acknowledgement
slip-cum-certificate of insurance.
CONCLUSION:
Large numbers of people are exposed to unforeseen possibilities. They are helpless and
insecure. The depth of the insurance depends on important factors; various reasons such as
the level of national economic development and the degree of economic development,
savings in financial instruments, as well as the size and scope of the insurance industry. This
Insurance plan-Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) - will be helpful in an
unfortunate death, or disability caused by an accident for any reason. The initial participation
of private sector banks in these programs was not higher than public sector banks. But today,
seeing the answer, the private sector bank said, they are also receiving interesting inquiries
and will actively participate. Subscribers to these plans are increasing at a certain rate, but if
they are still implemented and we pass the benefits to actual subscribers more appropriately,
it will help a lot to establish most of the remaining social security system in society. These
unique plans will be groundbreaking initiatives which will provide social security for millions
of compatriots at a very nominal cost.