This is the latest financial inclusion scheme launched by Narendra Modi government. This further the cause which was started by Jan Dhan Yojana which was very successful scheme and was able to open 10 crore new account.
Details of Pradhan Mantri Suraksha Bima Yojana
The scheme will be a one year cover, renewable from year to year, Accident Insurance Scheme offering accidental death and disability cover for death or disability on account of an accident.
Scope of coverage:
All savings bank account holders in the age 18 to 70 years in participating banks will be entitled to join. In case of multiple saving bank accounts held by an individual in one or different banks, the person would be eligible to join the scheme through one savings bank account only. In case you join the scheme with two account, the premium for with be forfeited. Aadhar card number would be the primary KYC for the bank account.
Time period of the Coverage
The cover shall be for the one year period stretching from 1st June to 31st May for which option to join / pay by auto-debit from the designated savings bank account on the prescribed forms will be required to be given by 31st May of every year, extendable up to 31st August 2015 in the initial year. Initially on launch, the period for joining may be extended by Govt. of India for another three months, i.e.up to 30th of November, 2015.
Rs.12/- per annum per member. The premium will be deducted from the account holder’s savings bank account through ‘auto debit’ facility in one installment on or before 1st June of each annual coverage period under the scheme. However, incases where auto debit takes place after 1st June the cover shall commence from the
first day of the month following the auto debit.
Death – 2 Lakh
Total and irrecoverable loss of both eyes or loss of use of both hands or feet or loss of sight of one eye and loss of use of hand or foot Rs. 2 Lakh
Total and irrecoverable loss of sight of one eye or loss of use of one hand or foot Rs. 1 Lakh
The savings bank account holders of the participating banks aged between 18 years (completed) and 70 years (age nearer birthday) who give their consent to join / enable auto-debit, as per the above modality, will be enrolled into the scheme. No need for medical test is needed to join this.
The premium paid will be tax-free under section 80C and also the proceeds amount will get tax-exemption u/s 10(10D).But if the proceeds from insurance policy exceed Rs.1 lakh , TDS at the rate of 2% from the total proceeds if no Form 15G or Form 15H is submitted to the insurer.