A larger section of the Indian population has been living without pension provision and insurance coverage against illness and an accident. After the huge success of the Pradhan Mantri Jan Dhan Yojana Scheme, the Indian Government has introduced three more social security schemes for citizens to provide protection during old age, in the time of illness and accidents. These financial schemes are known as Jan Suraksha schemes. The schemes are primarily meant for workers in the unorganised sector and to cover underprivileged and rural people. All the three schemes were simultaneously launched in all the major cities across India.
The three social security schemes introduced by the Government of India are as following:
- Atal Pension Yojana
- Pradhan Mantri Suraksha Bima Yojana
- Pradhan Mantri Jeevan Jyoti Bima Yojana
Let’s learn each of these Jan Suraksha schemes in detail
Atal Pension Yojana
The Government of India has introduced Atal Pension Yojana in order to bring in labours of unorganised sectors under the National Pension Scheme (NPS) administered by the Pension Fund Regulatory and Development Authority (PFRDA). The scheme is meant to provide old age income security for the workers of the unorganised sector who has no pension provision. Enrolment to the scheme can be done through LIC and various banks.
Eligibility Conditions for Atal Pension Yojana
- Indian citizen aged between 18 years to 40 years can apply. The contribution needs to be made for a minimum of 20 years before retirement. Contribution amount may vary depending on the age of the subscriber and the minimum pension amount.
- Should have a savings account
- It’s important to provide Aadhaar details and mobile number for KYC requirement. Aadhaar details can be submitted later in case of non-availability at the time of enrolling.
Main features of Atal Pension Yojana
- Guaranteed monthly pension ranging from INR 1,000 to INR 5,000 per month
- Government of India will co-contribute INR 1,000 per annum or 50% of your contribution, whichever is lower, provided you are not a taxpayer and are covered under any Statutory Social Security Schemes.
- Government of India will co-contribute to each eligible subscriber, for the period of five years who joins the scheme from 1st June 2015 to 31st December 2015.
- Contribution to the scheme will be automatically debited from your savings account. There will be a penalty for delayed contribution. The amount may vary depending on the time
- Subscribers are allowed to withdraw only after retirement age or 60 years. On exit, the monthly pension would be available. In case of death of the subscriber, pension will be made available to the spouse. In case of death of both, pension corpus will be paid to the nominee.
- Withdrawal within 60 years of age is allowed only in exceptional cases such as death or terminal illness.
Pradhan Mantri Suraksha Bima Yojana
Pradhan Mantri Suraksha Bima Yojana is an accident insurance scheme introduced by the Government of India. The plan is meant to provide financial protection against unforeseen events like death and impairments at negligible cost.
Eligibility conditions for Pradhan Mantri Suraksha Bima Yojana
- Indian citizen of the age between 18 years and 70 years can apply for this scheme
- Should have a savings account
- It’s important to provide Aadhaar details and mobile number for KYC requirement
Main features of Pradhan Mantri Suraksha Bima Yojana
- The premium for the scheme is as low as INR 12 per annum, per member of the family. Premium will be automatically debited from the savings account
- The scheme provides coverage of INR 1 lakh for partial disability and INR 2 lakhs for complete disability or death. The amount will be paid to the designated nominee in case of death
- One needs to enrol for the scheme on a yearly basis. However, long-term enrolment is also possible with the renewal premium being auto-debited from the savings account of the subscriber every year.
Pradhan Mantri Jeevan Jyoti Bima Yojana
Pradhan Mantri Jeevan Jyoti Bima Yojana of Indian Government is one of the plans offered under Jan Suraksha scheme. Basically, the plan comes with a provision of life cover. The government has offered this term plan to provide financial protection to the family of the subscriber at a nominal premium.
Eligibility of Pradhan Mantri Jeevan Jyoti Bima Yojana
- Individual (should be Indian resident) between 18 years and 50 years of age can avail this scheme.
- Maximum maturity age under the scheme is 55 years
- No medical examination required
- A savings account is required from which premium will be auto-debited
- It’s important to provide Aadhaar details and mobile number for KYC requirement
Main features of Pradhan Mantri Jeevan Jyoti Bima Yojana
- Get INR 2 lakh coverage for your family in an unforeseen event with a minimal premium amount of INR 330 per annum
- Insurance cover will commence from 45 days of enrolment into the scheme
- Simple and easy enrolment process without any medical examination
To sum up, the Government’s Jan Suraksha scheme is set to provide basic insurance protection to every household in the country. Jan Suraksha scheme will bring in the excluded sections of Indian society into financial mainstream which will boost the overall well-being of people in the country as well as for the economy.
