In India, a large section of the population still lacks access to basic life insurance protection. The sudden death of the main earning member can push entire families into severe financial distress.
To address this gap, the Government of India launched the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) on May 9, 2015. The scheme is designed to provide affordable life insurance coverage to low-income households at a very nominal cost. Under this scheme, individuals can get a life cover of Rs 2 lakh by paying just Rs 436 annually. In case of the insured person's death due to any reason, the nominee receives the full assured amount.
Massive reach
PMJJBY has emerged as one of the largest social security schemes in India. As per available data, more than 23.6 crore people had enrolled in the scheme by April 2025. Over 9 lakh families have already received claim payments, and thousands of crores in insurance benefits have been disbursed to beneficiaries. Its popularity is mainly driven by low premium cost and simple enrolment process, with auto-debit facility making policy renewal easy.
Who all are eligible?
Any Indian citizen aged between 18 and 50 years having a savings bank or post office account can enroll in the scheme. Once enrolled, the individual can continue the policy till the age of 55 years by paying the annual premium. No complex medical examination is required, making it accessible even to rural and low-income groups.
How much is the annual premium
The scheme requires only Rs 436 per year as premium for one year of insurance coverage. This amount is directly deducted from the subscriber's bank account through auto-debit.
What are the benefits?
In case of the insured person's death, the nominee receives Rs 2 lakh as insurance benefit. The coverage applies in all cases of death, whether natural or accidental.
What's the process of enrolment?
Individuals can join the scheme through their bank account. Aadhaar is widely accepted as the primary KYC document for enrolment. The process is simple and does not involve complicated formalities, making it easy to access for all eligible citizens.
How to claim?
The scheme is valid for one year and must be renewed annually to continue coverage. In the event of the insured person's death, the nominee can file a claim through the bank or insurance company. After submitting the required documents and verification of eligibility, the claim amount is directly transferred to the beneficiary's account.