Medical expenses can take a toll on an individual’s pocket. To create a better penetration of insurance across the nation and to empower individuals with the benefits that insurance provides. The government announced the PMJJBY scheme. The PMJJBY (Pradhan Mantri Jeevan Jyoti Bima Yojna) allows individuals to get insurance coverage worth Rs. 2 Lakhs. The renewal of the insurance policy is on an annual basis. The insurance is not linked, i.e. it is available only to individuals and not a floater policy for all family members. 

The PMJJBY offers the following benefits: 

Security that provides you with nominal coverage 

– Simple and easy to avail policy. The enrollment is hassle-free and it has no medical examination. 

– The premium available for the PMJJBY is affordable. 

If you are choosing to be insured with the PMJJBY, then you should know about the following eligibility criteria:

  1. Age: The individual applying for the PMJJBY scheme is of a minimum 18 years of age. 
  2. Maximum age for application is 50 years. The maximum maturity age is 55 years. 
  3. The renewal term for the PMJJBY is one year. 
  4. The annual premium for the PMJJBY policy is Rs. 436 per annum. 

One can save up on the ‘commission payable to a distributor’ by getting enrolled with the PMJJBY on an individual basis voluntarily. 

You can enroll through the participating banks, and post offices, which can be the master policy holders. 

What are some exclusions that you should know about? 

  1. No death coverage shall be available to the new policyholders during the first 30 days of them purchasing the policy. In case of an unfortunate death during the 30 days, no claim would be admissible, except for cases like an accident. 
  2. The tax benefits will be applicable as per the Income Tax Act, of 1961. 

Reasons Behind The Relevance of PMJJBY

The idea behind the PMJJBY was to open the insurance product to a wider, more diverse audience that may not belong to the affluent classes. In dire times, if such a product is not available at affordable rates, the medical expenses can drive a family toward insurmountable debt. 

Not only is the PMJJBY affordable, but it is also easy to enroll in. No medical examination is required to enroll yourself into PMJJBY. A couple of consent forms that require satisfactory health declarations and acceptance from your end. 

Apart from this, financial security can be improved with multiple factors. Beginning small investments, ensuring a proper financial budget that not only tracks your expenses but ensures you do not end up overspending the same. The idea behind the same is to allow yourself to save up for the premium of this PMJJBY Insurance policy, but also create an emergency fund of up to 6 months of your daily expenses. This emergency fund acts as a hedge against uncertain times and allows you to float through life without breaking or redeeming any investments. 


Leveraging PMJJBY is an easy choice, because of cost, affordability and ease of access. So do consider it, and even share the insights with those who might benefit from it.