Pradhan Mantri Suraksha Bima Yojana (PMSBY)

Posted by  Fintra Editor , June 9, 2018

Pradhan Mantri Suraksha Bima Yojana (PMSBY)

Another social security scheme makes its way into the public out of the Government of India’s pocket. The other being Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and the Atal Pension Yojana (APY).

What is PMSBY?

The scheme offers one-year accidental death insurance and disability cover which can be renewed yearly by paying just Rs 12.

What you will have to pay to get in the cap of this scheme and how you must pay it?

Annually one will have to pay a premium of just Rs 12 to be a part of this scheme. Each year the account will be auto-debited by the bank at the start of the cover i.e. on 1st June. If it is debited after 1st June, then the cover will start from the date of the auto-debit of the premium by the bank. Getting enrolled in this scheme from more than one bank would not make one eligible for a cover from both banks. You can avail of it from only one bank and the premium paid to other banks will be kept by the bank itself.

What all will be covered after paying 12 Rs. a year in this scheme?

Under PMSBY, the risk coverage available is Rs 2 lakh for accidental death and permanent total disability, and Rs 1 lakh only for permanent partial disability.

Total and irrecoverable loss of both eyes or loss of use of both hands or feet or loss of eyesight and loss of use of a hand or a foot is said to be permanent total disability by the government.

Loss of use of a hand or foot or use of an eye which is total and irrecoverable is defined as a permanent partial disability. The scheme can be availed in addition to any other scheme a person has. Moreover, this scheme doesn’t have any provision for covering hospitalization expenses following accidents as it is not a Mediclaim policy.

Important inclusions and exclusions in the PMSBY

Death or disability (as defined under PMSBY) resulting from natural calamities is covered under PMSBY. A person’s death due to murder is covered but suicide is not covered under this scheme. If the person has lost their eye or a foot or a hand but if it not considered to be irrecoverable then this type of partial disability is not covered.


Indians having a bank account in the age group of 18-70 years are eligible to join the PMSBY. In case a person has multiple bank accounts then they can join the scheme using only one of them. In the case of a joint account, all the members can avail of the scheme separately.

Even NRI’s are eligible for the scheme but the claim benefit will be paid only in Indian Currency to them.

Enrolment Period

The cover is for a one-year period, starting June 1 to May 31 of the next year. The option to join/pay by auto-debit must be given by subscribers as written consent to the bank by May 31st of every year. Those who want to continue beyond the 1st year must give their written consent to the bank for auto-debit before May 31st for each successive year.

Where to get enrolled in PMSBY Scheme?

The scheme can be availed by visiting Public Sector General Insurance Companies and other Insurance Companies, in collaboration with many banks. The banks are free to choose a different company for implementing the scheme for their subscribers. You can visit the bank and then fill in the form or you can download the form online and then submit it to your bank.

Some banks have also initiated an SMS-based enrolment facility for the scheme. You can also get enrolled in this scheme using internet banking.