Context

• India is celebrating the 10th anniversary of the three social security (Jan Suraksha) schemes — Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Atal Pension Yojana (APY).
  • PMJJBY, PMSBY and APY were launched by PM Modi on 9th May, 2015.

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)

• Scheme: PMJJBY is a one-year life insurance scheme renewable from year to year offering coverage for death due to any reason.
• Eligibility: Persons in the age group of 18-50 years having an individual bank or a post office account are entitled to enroll under the scheme.
  • People who join the scheme before completing 50 years of age can continue to have the risk of life covered up to age of 55 years upon payment of regular premium.
• Benefits: Life cover of Rs. 2 Lakh in case of death due to any reason against a premium of Rs. 436/- per annum.

Pradhan Mantri Suraksha Bima Yojana (PMSBY)

• Scheme: PMSBY is a one-year accidental insurance scheme renewable from year to year offering coverage for death or disability due to accident.
• Eligibility: Persons in the age group of 18-70 years having an individual bank or a post office account are entitled to enroll under the scheme.
• Benefits: Accidental death cum disability cover of Rs.2 lakh (Rs.1 lakh in case of partial disability) for death or disability due to an accident against a premium of Rs.20/- per annum.

Atal Pension Yojana (APY)

• Background: It is an initiative of the Government to provide financial security and cover future exigencies for the people in the unorganised sector.
  • APY is administered by Pension Fund Regulatory and Development Authority (PFRDA) under the overall administrative and institutional architecture of the National Pension System (NPS).
• Eligibility: Open to all bank account holders aged 18 to 40 years.
  • Applicants must not be income tax payers.
  • Contribution amount varies based on the chosen pension slab and age of joining.
• Benefits: Subscribers would receive the guaranteed minimum monthly pension of Rs. 1000 or Rs. 2000 or Rs. 3000 or Rs. 4000 or Rs. 5000 after the age of 60 years, based on the contributions.
• Disbursement of the Scheme Benefits: Pension is first paid to the subscriber.
  • After the subscriber’s death, the spouse receives the pension.
  • Upon the demise of both subscriber and spouse, the accumulated pension corpus is given to the nominee.
  • In Case of Premature Death (Before Age 60): The spouse can continue the contributions until the subscriber would have turned 60, maintaining pension eligibility.

Significance of the schemes

• Low-Cost Coverage: The schemes offer insurance and pension at extremely affordable premiums, ideal for economically vulnerable groups.
• Financial Inclusion: Enhanced the utility of Jan Dhan accounts by linking them with protective insurance.
• Women Empowerment: A significant proportion of subscribers under APY are women.
• Insurance Penetration: Broadened access to formal insurance and pension systems in rural and semi-urban India.

Conclusion

• The Jan Suraksha schemes represent a transformative step in building an inclusive social security net for India’s vast unorganised sector. 
• As the nation celebrates a decade of these initiatives, there is a need to consolidate gains, plug operational gaps, and deepen coverage, ensuring that every citizen has a basic shield against life’s uncertainties.

Source: PIB