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In recent years, the Indian Government has introduced various insurance-related schemes aimed at providing financial protection to the country's vast population. Among these, the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and the Pradhan Mantri Suraksha Bima Yojana (PMSBY) have garnered significant attention for their affordability and inclusiveness. Both schemes are also available for the NRIs residing in UAE, provided the eligibility criteria are met.
The article below will explore the essential differences and similarities between these two flagship initiatives, delving into their core features, target beneficiaries, and the potential impact on the financial well-being of millions of Indian citizens living outside India.
Join us as we cover the nuances of PMJJBY and PMSBY to help you make informed decisions for your financial security.
Before reviewing the similarities and differences between PMJJBY and PMSBY, let’s take a look at each of the schemes and comprehend PMJJBY and PMSBY scheme details for NRIs residing in the UAE.
The Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) is a government-backed life insurance scheme designed to provide financial protection to the families of enrolled individuals in case of the latter’s untimely demise. While the scheme is primarily aimed at Indian citizens, Non-Resident Indians (NRIs) living in countries like the UAE can also avail of its benefits.
NRIs aged between 18 and 50 years with an active Indian bank account can enrol in the PMJJBY by paying an annual premium (currently INR 436). Upon the policyholder's death, the nominee will receive a sum assured of INR 2 lakh.
The coverage period is one year for this policy, which can be renewed annually by paying the premium. The scheme offers an affordable and accessible insurance option for NRIs in the UAE, helping them secure the financial future of their dependents.
The Pradhan Mantri Suraksha Bima Yojana (PMSBY) is a government-sponsored accident insurance scheme launched in 2015, offering protection against death or disability due to an accident.
Non-Resident Indians (NRIs) residing in the UAE can also benefit from this scheme. NRIs aged between 18 and 70 years, with an active Indian bank account, are eligible to enrol in PMSBY. The scheme requires a nominal annual premium and provides a sum assured of INR 2 lakhs in case of accidental death or permanent total disability and INR 1 lakh for permanent partial disability. The policy coverage is for one year and can be renewed annually by paying the premium. PMSBY serves as an affordable and convenient accident insurance option for NRIs in the UAE, safeguarding their families' financial well-being in the event of an unforeseen accident.
Given below are similarities and other PMJJBY and PMSBY scheme details for a better understanding of the concepts -
|Feature||PMSBY and PMJJBY|
|Coverage Period||1 year, renewable annually|
|Who can Apply||Any Indian citizen (including NRIs)|
|Enrolment Process||Auto-debit from the linked Indian bank account|
|Minimum Age Limit for Enrolment||18 years|
|Sum Assured||Highest sum assured – INR 2 Lakhs|
|Mode of Application||Jan-Dhan Se Jan Suraksha official website|
|Termination of Policy||When an insured individual reaches the maximum age as per the scheme, the policy automatically terminates.|
|Number of Policies You Can Apply For||Irrespective of the savings accounts you hold, you can have only one policy number.|
|Refund||No refund shall be issued if no claim is submitted|
|Policy Lapse||Even if you are unable to pay the premium amount, the policy will not lapse.|
|Required documents||Minimal documentation is required. However, you should generally keep the following documents ready –
|Buying Process||Both schemes are available with private and public banks. You can buy the scheme from the bank where you hold your savings account.|
|Reinstatement||If the balance in the bank account linked with your scheme is insufficient, you have the flexibility to reinstate the scheme by clearing the outstanding premiums.|
Now that we have covered the basic aspects of the given plans, let’s have a look at the table below to understand how these two insurance schemes are different from each other –
|Feature||PMSBY (Accident Insurance)||PMJJBY (Life Insurance)|
|Full Name||Pradhan Mantri Suraksha Bima Yojana||Pradhan Mantri Jeevan Jyoti Bima Yojana|
|Eligibility for NRIs||NRIs aged 18-70 years with an active Indian savings bank account||NRIs aged 18-50 years with an active Indian savings bank account|
|Scheme Type||Accidental Insurance Scheme||Life Insurance|
|Annual Premium||INR 20 per individual||INR 436 per individual|
|Coverage||Accidental death and disability||Natural and accidental death|
||INR 2 lakhs|
|Purpose||Provide financial security in case of accidents||Provide financial security in case of the policyholder's death|
While both the schemes may not fully replace life insurance, they are government-sponsored insurance programs designed to offer financial protection to Indian citizens, including Non-Resident Indians (NRIs) residing in the UAE.
PMJJBY and PMSBY are mainly known for their affordability and inclusiveness, with PMJJBY providing life insurance coverage and PMSBY focusing on accident insurance.
Though there are some differences between PMJJBY and PMSBY, such as age eligibility and coverage specifics, both share the common objective of bolstering the financial security of millions of Indian citizens living both domestically and abroad. By thoroughly understanding the PMJJBY and PMSBY schemes’ details, you can make well-informed decisions regarding your financial safety and choose the scheme that best aligns with your requirements.
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