The government started PMJJBY and PMSBY in 2015 to provide security to all.
The government had started Pradhan Mantri Jeevan Jyoti Bima Yojana ie PMJJBY and Pradhan Mantri Suraksha Bima Yojana ie PMSBY in 2015 to provide security to all. What did not happen in the last 7 years, has happened now.
In order to provide security to all, the government launched the Pradhan Mantri Jeevan Jyoti Bima Yojana in 2015. PMJJBY And the Prime Minister’s Security Insurance Scheme ie PMSBY had started. What did not happen in the last 7 years, has happened now. means government (Central Government) both of these Insurance (Insurance) The premiums of the plans have been increased. Now the buyers of both these schemes will have to spend Rs 1.25 daily. Both these insurance plans are given to the account holders of the banks and the premium amount is also deducted automatically from the account itself.
The annual premium of Pradhan Mantri Jeevan Jyoti Bima Yojana has been increased from Rs 330 to Rs 436 and the annual premium of Pradhan Mantri Suraksha Bima Yojana has been increased from Rs 12 to Rs 20. These new rates of premium have become effective from June 1. Now let’s know how many people will be affected by the increase in premium.
PMJJBY has 6.4 crore customers across the country
According to the Ministry of Finance, PMJJBY has 6.4 crores and PMSBY 22 crores as of March 31, 2022. The Finance Ministry also informed that since the inception of PMSBY till March 31, 2022, an amount of Rs 1,134 crore has been collected as premium and claims of Rs 2,513 crore have been paid. Similarly, an amount of Rs 9,737 crore was deposited as premium in PMJJBY and claims of Rs 14,144 crore were paid.
After the death of the subscriber of Pradhan Mantri Jeevan Jyoti Bima Yojana, 2 lakh rupees are given to the members of his family. Under the Pradhan Mantri Suraksha Bima Yojana, if the insured person dies in an accident or becomes disabled, then his family gets an insurance cover of Rs 2 lakh.
Why did the premiums of these insurance plans, launched for the weak and low-income people, have to be increased? On this, the Finance Ministry says that due to the increase in the number of claims in both the schemes in the recent past, it has been decided to increase the premium.
In 2015, both the schemes were launched by the government.
The Finance Ministry said that when both these schemes were launched in 2015, their annual premium claim was decided on the basis of experience. The claim ratio of PMJJBY is 145 percent as of March 31, 2022 and the claim ratio of PMSBY is more than 221 percent. Let us also understand what is this claim ratio. Meaning, the number of claims paid by a company in comparison to the premium taken, it is called claim ratio. Suppose an insurance company received a total premium of Rs 100 in a year and paid 145 claims in the same period, then its claim ratio would be 145 per cent.
Such a high number of claims in both these insurance schemes has spoiled the mathematics of the government. This is causing huge losses to the insurance companies. The premium has been increased to make these plans viable for insurance companies and to include new companies in this scheme.