Pradhan Mantri Suraksha Bima Yojana (PMSBY)

This article talks about the features, coverage, registration procedure, and everything else you need to know about the Pradhan Mantri Suraksha Bima Yojana (PMSBY).

The government of India keeps coming up with welfare schemes for different sections of society. Accidental Insurance is important for the lower-income groups as their families depend solely on the income of such person. The authorities introduced the Pradhan Mantri Suraksha Bima Yojana (PMSBY) to make accidental insurance affordable and reasonable for lower-income groups. This scheme was announced by the government in their 2015 Budget Speech.

What is Pradhan Mantri Suraksha Bima Yojana?

Pradhan Mantri Suraksha Bima Yojana (PMSBY) is an Indian government-backed accidental insurance cover. This insurance scheme covers accidental death, permanent disability, and partial disability. This accidental insurance cover is a type of social security scheme directed towards the lower-income category and high-risk categories like mechanics, electricians, laborers, etc. Individuals belonging to the age group of 18-70 years are eligible for this scheme. Unlike other health insurance schemes offered by commercial companies, the premium charged under this scheme is very low. The annual premium is Rs. 12 under this scheme and is deducted from the accountholder’s bank account through an ‘auto-debit facility. This scheme is offered by the Public Sector General Insurance Companies or any other general insurance corporations willing to offer this scheme on similar terms.

Coverage of PMSBY

The annual premium charged under this scheme is Rs. 12 excluding any service tax. In the event of death or full disability of the policyholder, Rs. 2 lakhs are paid to the nominee or policyholder and in case of partial disability Rs. 1 lakh is paid. The cover offered by the PMSBY is as follows:

Accident leads to death of the policyholder Rs. 2 lakhs paid to the nominee
Accident leads to a permanent total disability Rs. 2 lakhs
Accident leads to permanent partial disability Rs. 1 lakh

Note: The definition of total and partial disability will be as per the policy’s terms and conditions.

Under PMSBY, there are certain restrictions on the cause of death and the nature of the disability. Death by suicide is not covered under this scheme. Also, any non-permanent disabilities (partial disability without irrecoverable loss) are not covered under the scope of PMSBY.

Features of PMSBY

  • Eligibility: The minimum and maximum age requirements under this scheme are 18 & 70 years respectively. Those having a savings bank account are eligible to subscribe to this policy. Also, the bank account must be linked to the Aadhar Card of the individual. If the Aadhar card is not linked to the bank account of the individual, a copy of the card must be submitted along with the application.
  • Premium: The premium to be paid is Rs. 12 per annum. This premium is auto-debited from the bank account of the policyholder.
  • Policy Duration: The policy duration is from June 01 to May 31.
  • Renewability: Under this scheme, accidental death insurance can be renewed each year. Policyholders also have the option to choose a long-term policy or yearly renewability. The policy should be renewed before the end of May each year.
  • Discontinuity: The policyholders can easily exit the scheme at any point in time and can also subscribe at any time in the future.
  • Coverage: Under PMSBY, Rs. 2 lakhs are payable in the event of death or permanent total disability, and Rs. 1 lakh is payable in case of permanent partial disability.

Registration Procedure for PMSBY

The eligible individuals can subscribe to this scheme through any affiliated banks or an insurance company. The registration procedure can be undertaken either through the internet banking facility or by sending a message on the onboarding organization’s toll-free number.

  • Internet Banking Facility: As a first step, you need to log in to your internet banking account. Then click on the Insurance option and choose this scheme. Then you need to identify the bank account to be used for paying the premium. Check the details and confirm. Finally, download the receipt and note down the stated reference number for future needs.
  • SMS Facility: As a first step, you need to receive the activation SMS. After that reply to the activation SMS with ‘PMSBY Y’ and receive a message acknowledging the receipt. Finally, the details are taken directly from the participating bank account of the individual.

Claim Procedure of PMSBY

The PMSBY gives accidental health and disability coverage which is confirmed and supported by documentary evidence. The claim form needs to be submitted to the respective bank branch within 30 days of the accident. In the event of an accidental demise, the claim must be supported by the original FIR report, post-mortem report, death certificates, and other hospital records. In the event of a disability claim, the claim must additionally be supported by a disability certificate and the discharge certificate should also be enclosed. After verifying this documentary evidence and the account details, they shall forward the case to the insurance company within 30 days of the claim. Finally, the claim will be processed within 30 days of receiving the documents from the bank and the admissible claim will be remitted to the nominee’s or the policyholder’s account.


With all the benefits and features offered by PMSBY, it is one of the best social security schemes introduced by the government. The main objective of this policy is to provide life protection to those people with lesser means without hurting their savings patterns.