Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) is a one-year renewable life insurance scheme. It provides coverage for death without any investment benefits, focusing solely on mortality.
Life cover of Rs. 2 lakhs Standard Annual Premium: Rs. 436 (This is the amount debited if you enroll between June 1st and May 31st of the following year) Pro-rated Premiums: June, July, August: Full premium (Rs. 436) applies. September, October, November: 3 quarters premium (Rs. 342) applies. December, January, February: 2 quarters premium (Rs. 228) applies. March, April, May: 1 quarter premium (Rs. 114) applies.
Master policyholders, who can be participating banks or post offices, will have insurance coverage starting on June 1st or the enrollment date, whichever is later. New members are not covered for death (except by accident) during the first 30 days after enrolling. Premiums paid are tax-deductible under section 80C of the Income Tax Act. This plan does not offer maturity or surrender benefits.
You must be 18-50 years old and have a savings account to enroll through participating banks. Only one savings account can be used to join, even if you have multiple accounts. Your Aadhar card must be linked to the participating bank account to receive benefits. If you join after the initial period (August 31, 2015 - November 30, 2015), you need a self-attested medical certificate stating you don't have any critical illnesses as listed in the policy.
PMJJBY offers a death benefit of Rs 2,00,000 to the beneficiary if the insured person passes away suddenly. This is a pure-term insurance plan, so it has no maturity or surrender benefits. Premiums paid are eligible for tax benefits under section 80C of the Income Tax Act. The policy provides risk coverage for 1 year and can be renewed annually.