PM Narendra Modi launches three social security schemes- 1 on pension, 2 on insurance

May 9, 2015

Prime Minister Narendra Modi on 9 May 2015 launched three mega social security schemes in Kolkata, West Bengal.
Three schemes intend to widen the process of financial inclusion in the country include

Pradhan Mantri Jeevan Jyoti Yojana (PMJJBY).
Pradhan Mantri Suraksha Bima Yojana (PMSBY).
Atal Pension Yojana (APY).

Atal Pension Yojana (APY)

Under APY scheme, the pension subscribers will receive a fixed minimum monthly pension ranging from 1,000 rupees to 5,000 rupees at the age of 60 years.
The fixed minimum monthly pension will be depending on the contributions subscribers.
Contribution: Union Government will co-contribute 50 percent of the total contribution of subscriber for a period of 5 years.
Eligibility: Subscribers must have bank account and should not be members of any statutory social security scheme and or Income Tax payers.
The minimum age of joining: 18 years and maximum age is 40 years.
Focus of APY: To target unorganised sector workers.
Coverage: The pension will also be available to the spouse on the death of the subscriber and thereafter, the pension corpus would be returned to the nominee.
Subscriber and Enrolment Payment: It will auto-debited from the accounts account holders depending upon selected monthly pension range.
Enrolment agencies: Subscribers will be enrolled through institutional architecture of National Pension System by all Points of Presence (Service Providers) and Aggregators under Swavalamban Scheme.
Operational Framework of APY: It will be administered by the Pension Fund Regulatory and Development Authority (PFRDA).

Pradhan Mantri Jeevan Jyoti Yojana (PMJJBY)

Under the PMJJBY, the insurance subscriber will get an annual life insurance in case of death.
Eligibility: Available any person in the age group of 18 to 50 years having a bank account.
Risk Coverage: 2 Lakh rupees in case of death due to any reason.
Payment Mode of premium: 330 rupees per annum will be directly auto-debited by the bank from the subscribers account.
Implementation of Scheme: Will be offered by Life Insurance Corporation (LIC) and all other life insurers who are willing tie-up with banks for the purpose of joining the scheme.

Pradhan Mantri Suraksha Bima Yojana (PMSBY)

Under the PMSBY, the insurance subscriber will get annual life insurance in case of accidental death, partial disability or full disability.
Eligibility: Available to any person in the age group 18 to 70 years.
Any person having Aadhaar number linked bank account can join the scheme.
He/she must give a simple form to the bank every year before 1st of June. In the form name of nominee also must be given.
Risk Coverage: For accidental death and full disability– 2 Lakh rupees
For partial disability – 1 Lakh rupees.
Payment Mode of premium: 12 rupees per annum will be directly auto-debited by the bank from the subscribers account in case of long-term option.
Implementation of Scheme: Will be offered by all Public Sector General Insurance Companies and all other insurers who are willing tie-up with banks for the purpose of joining the scheme