Kotak Life

Buy a Life Insurance Plan in a few clicks


Now you can buy life insurance plan online.

Kotak e-Term Plan

Kotak e-Term Plan provides a high level of protection to your loved ones in your absence. Know more

Kotak Guaranteed Savings Plan

Kotak Guaranteed Savings Plan is a savings and protection plan that helps you achieve long-term financial goals and provides an insurance cover against any eventuality. Know more

Kotak E-Invest

Kotak e-Invest plan is a complete Unit-Linked Insurance Plan that can be customized as per your goals and needs. Know more

Kotak Health Shield

Kotak Health Shield Plan helps secure your finances in sudden medical expenses such as Cardiac, Liver, Neuro, and Cancer (all early and significant illness stages/conditions of cancer), along with offering protection for personal accidents - in case of accidental death or disability. Know more

Kotak Lifetime Income Plan

Kotak Lifetime Income Plan gives you the security of your income continuing throughout your life and in your absence throughout your spouse's lifetime! Know more

Pradhan Mantri Suraksha Bima Yojana

Pradhan Mantri Suraksha Bima Yojana
  • 10th Mar 2021 |
  • 7,293

With events in life taking a turn toward the unknown due to the pandemic, we as individuals experienced a cultural shift that compelled us to introspect. This introspection stimulated by the lockdown and the changing parameters that it brought along, carefree movies, self-help books, and meditation, has convinced us of the importance of living in the moment. However, it has done this while making us more sensitive towards our responsibilities for the future. It has taught us the value of a well-thought-out financial road map that can be used to navigate the way forward when circumstances become challenging.

In this journey of financial planning, life insurance holds immense importance. To emphasise the value of a life insurance cover and encourage its subscription, the Government of India launched the Pradhan Mantri Suraksha Bima Yojana (PMSBY).

What is the Pradhan Mantri Suraksha Bima Yojana (PMSBY)?

Announced by the Government of India in the 2015 budget, the Pradhan Mantri Suraksha Bima Yojana is one of the three social security schemes. The other two being Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and the Atal Pension Yojana (APY).

The PMSBY is a government-sponsored socially oriented insurance scheme that aims to provide insurance cover in the event of an accident leading to the death or disability of the policyholder. The PMSBY insurance scheme offers a one-year accidental death and disability cover, which can be renewed annually.

The one-year cover starts from June 1 to May 31 of the following year. The option to join or to pay by auto-debit has to be provided by May 31 every year. Those who wish to continue with the insurance policy after the conclusion of the first year have to give their consent for auto-debit before May 31 for successive years.

With a highly affordable premium of ₹12 per year, the PMSBY scheme aims to bring the uninsured population under an insurance cover. Under the PMSBY insurance, the risk coverage available for accidental death and permanent total disability is ₹2 lakhs, whereas the risk coverage for permanent partial disability is ₹1 lakh. In the event that the policyholder dies owing to an accident, the nominee will be given the amount of ₹2 lakhs.

Permanent total disability takes into account total and irrecoverable loss of both eyes, or loss of use of both hands or feet, or loss of eyesight, and loss of use of a hand or a foot. Permanent partial disability is defined as total and irrecoverable loss of eyesight or loss of use of a hand or foot. This scheme will be in addition to any other insurance plan that the subscriber might hold.

Save Tax Now

Who Can Benefit from the Pradhan Mantri Suraksha Bima Yojana?

The Pradhan Mantri Bima Yojana can be availed by people in the age bracket of 18 to 70 years considering that they have a bank account and have provided their consent to join or enable auto-debit on or before 31st May for the coverage period 1st June to 31st May on an annual renewal basis.

The premium of Rs. 12 per annum will be deducted from the savings account of the policyholder through the auto-debit facility. In case the subscriber holds multiple bank accounts in one or different banks, they will be eligible to join the scheme through one bank account only. If the subscriber holds a joint account, all the holders of the account are eligible to join the scheme.

The PMSBY scheme can also be availed by NRIs however if a claim arises, the benefit will be settled with the nominee or the beneficiary only in Indian currency.

In case the policyholder wishes to exit the scheme, they can rejoin it in the future by paying the annual premium following certain conditions.

How to Register for the Pradhan Mantri Suraksha Bima Yojana?

The PMSBY insurance is managed by Public Sector General Insurance Companies (PSGICs) and other general Indian insurance companies in collaboration with the participating banks. In order to implement the PMSBY scheme for their subscribers, the banks are free to rope in any general insurance company.

  • To enrol for the scheme, the subscriber can download a form that has to be handed over to their banker.
  • Some banks have also initiated an SMS-based enrolment process.
  • Another online method to enrol for PMSBY insurance is through net-banking.
  • To enrol for the PMSBY, reach out to a bank that is affiliated with the scheme or an insurance company.
  • The form for registering can also be downloaded from the government’s Jan Suraksha website where it is available in multiple languages.

As mentioned above, the enrolment can be done through SMS or net-banking.

To activate the PMSBY scheme through SMS:

  • Eligible customers will be sent an SMS, and they will have to respond to it as ‘PMSBY Y.’
  • Once the above response has been sent, the customer receives an acknowledgement message.
  • For processing the application, details from the present savings account will be taken. These include the name of the nominee, demographic details, relationship with the nominee, and the nominee’s date of birth.
  • In case the above-mentioned details are not present in the core banking records, the confirmation for the policy will not be taken ahead for processing. If this happens, the customer can apply for the policy at their nearest branch or do it through net-banking.
  • It is also important to note that if the payment of premium fails owing to insufficient funds in the bank account of the policyholder or for any other reasons, the insurance cover ceases to be in force.
  • To activate the PMSBY scheme through net-banking:

    • Log-in to your net-banking.
    • The PMSBY will be displayed under the relevant section, if you cannot find it, simply search for it in the search bar from the home page.
    • You then need to select the account through which you will be paying the premiums.
    • Once you select the account, the amount of the policy cover, along with the premium amount and the details of the nominee (with reference to the account selected), will be displayed. You could either replicate the nominee details or opt to add a new nominee.
    • You will then have to click on the declaration:
    • o Good health declaration o Terms & Conditions /Scheme Details/FAQs o I do not hold any other policy of the same
    • Following this, click on ‘Continue’ to view the complete details of the PMSBY insurance that you have opted for
    • Verify the scheme registration details and if you are convinced, click on ‘Confirm’
    • Once this is done, download the acknowledgement form which carries a unique reference number, and save this for future needs

    How to Make the Claim for PMSBY Scheme?

    • As the PSMBY covers death caused by accident, this needs to be confirmed by documentary evidence.
    • In case of unfortunate events such as accidents, drowning, or death involving a crime, the incident needs to be reported to the police.
    • Other incidents need to be supported by an immediate hospital record.
    • In the event that the policyholder dies, the claim can be filed by the nominee or the legal heir if the nominee is not mentioned by the subscriber.
    • The disability claim is credited into the bank account of the insurance holder, whereas the death claim is credited to the account of the nominee or the legal heir.

    What is Included and Excluded in the PMSBY Scheme?

    Accidents and any disability or death owing to natural calamities as defined in the policy are covered under PMSBY. Additionally, death because of murder is also covered in PMSBY insurance.

    However, if the policyholder were to commit suicide, the family does not receive the death insurance benefit. Major exclusions also comprise intentional self-injury, attempted suicide under the influence of drugs or alcohol, or any loss arising from a breach of law with or without criminal intent.

    The accident cover of the member will also be terminated or restricted if:

    • The policyholder crosses the age of 70
    • Closure of the bank account owing to insufficient funds for keeping the policy in force
    • If the member is covered through more than one account and the insurance company receives the premium inadvertently, the insurance cover will be restricted to just one account, and the premium will be forfeited.

    In Conclusion

    The Pradhan Mantri Suraksha Bima Yojana comes with several benefits making it an admirable accident cover policy. The PMSBY was created with the aim to provide insurance policies to the weaker sections of society and to ensure their family’s financial security which is why the policy is made available at a highly reasonable premium. The policy also comes with a hassle-free claim settlement procedure, and the enrolment procedure is also customer-friendly so that it can be used by many.

Kotak e-Term Plan


  • Nominal Cost
  • Multiple Plan Options
  • Flexible Payout Options
  • Critical Illness Rider
  • Tax Savings
  • Long term Coverage

Ref. No. KLI/22-23/E-BB/492


Browse our library of resources

- A Consumer Education Initiative series by Kotak Life

Similar Articles

Insurance Policy for Housewife In India

Why does every working woman need life insurance?

Should You Buy a Term Plan After 40?

What are the Documents Required for Term Insurance Plan?

When is the Right Time to Buy Term Life Insurance Policy for Yourself?

What Is the Correct Age to Buy Term Insurance?

How Does A Term Life Insurance Work in India?

How To Choose the Right Term Insurance Plan?

Difference between Term Insurance and Life Insurance

Can Term Insurance Plans Be Purchased As A Gift?

Planning For Son or Daughter's Wedding

While Buying Term Insurance Compare Features, Not Just Premiums

Term Insurance Calculator - Everythng You Need To Know

How Much Term Insurance Do I Need

Why Married People Should Buy Term Insurance Under MWP Act?

What Happens if you Hide Facts in your Term Insurance?

What is a Joint Term Insurance Plan? Key Benefits of Joint Term Plan

Why Should You Not Take A Term Plan Without Medical Test in India?

What Happens to Term Insurance Plan With No Beneficiary - Kotak Life

Buying A Term Insurance? Don't Ignore the Claims Settlement Ratio

Why is it important to buy term insurance plan?

Why Should New Parents Buy Term Life Insurance?

Best Investment Plans for Children - Secure Your Child's Future

Term Insurance Age Limit – Term Plan for All Age Groups

टर्म इंश्योरेंस क्या है? टर्म इंश्योरेंस का मतलब

How to Compare Term Insurance Online

What are incremental term insurance plans?

Advantages & Disadvantages of Term Insurance in India

Is It Good To Buy A Term Insurance Plan In 2022?

Does Term Insurance Cover Accidental Death?

What Types of Deaths Are Covered in a Term Insurance Plan?

Term Insurance: Smokers vs Non-Smokers

Term Insurance: Most Common Term Insurance Myths Explained | Kotak Life

Buying A Term Insurance Plan? Take These Factors into Account

4 Methods to Calculate How Much Term Insurance You Need

Term Insurance: What Happens When You Don’t Pay Your Premiums?

Term Life Insurance Plan for Smokers vs Non-Smokers

Key IRDAI Regulations That Changed Face Of Term Insurance Industry In 2020

Cost of Term Insurance Likely to Increase Soon

What is Form 16, Form 16 part A, Form 16 part B, Information Required and FAQs

Increasing Term Insurance and Riders

Eligibility Criteria for Buying Term Insurance in India

4 Things To Expect From Your Term Insurance Plan in India

Top 3 Reasons Why You Should Buy A Term Plan Now

Why Should You Add a Rider to a Term Insurance Plan?

What Should Be The Duration Of Your Term Plan in India?

Protection for your family

8 Benefits of Term Insurance You Should Know

Choosing Riders for Insurance Plans

Why Term Insurance Is Important in times of COVID-19?

Why Surrendering Your Term Plan Policy In The Final Phase Maybe A Bad Idea?

Different Types of Protection Plans

Reasons You Need Term Insurance Plan as a Self-Employed Person

What Is a Renewable Term Insurance Policy?

Term Vs. Whole Life Insurance: Which One You Should Buy in India?

How to Buy 1 Crore Life Insurance Policy Without Medical Test

Why should single women purchase term life insurance?

Why 1 Cr Term Plan Is Necessary For Family?

Why Should You Buy Term Insurance in 2022?

Is There Any Tax Benefit on Term Insurance?

What Are Insurance Riders and How to Choose Them in a Term Plan?

5 Term Insurance Benefits for Single Women

Which Death Type Does Your Term Plan Not Cover?

Make Your Online Term Plan Your Family's Monthly Pay Cheque

Why Buy Term Insurance Plan With a High Cover?

Different Types of Premium in Term Insurance

Ensure Protection Against Death, Disease & Disability With Life Insurance

Why Term Insurance Is Better Than ULIP?

What is the Right Term Period For Term Insurance Policy? Here's How You Should Choose!

What is Insurance Premium - A Detailed Guide

Is Term Life Insurance Plan an Investment or Expense?

How To Change The Nominee in Term Insurance?

6 Types of Death not covered in Term Insurance Plan

Is Group Term Life Insurance Provided By Employer Sufficient?

Is it a Good Time to Buy Term Insurance During the COVID-19 Pandemic?

Is ₹1 Crore Term Insurance Good Enough Cover?

Online vs Offline Term Insurance: Which Is The Better Option To Buy

Insuring yourself against Ill Health with a Critical Illness Rider

What is Term Insurance - A Complete Guide

Tax Benefits of Term Insurance in India

How to Identify Term Insurance According to Your Needs?

10-Year Term Life Insurance Policy - Explained in Detail

9 Most Frequently Asked Questions on Term Insurance

What is Critical Illness Policy

5 Benefits of Early Retirement Planning

Can I Buy Term Insurance for a COVID-19 Patient?

5 Reasons to Buy Term Insurance When You are in Your 30s

What Are the Best Term Insurance Plans for Planning Retirement?

6 Reasons That Make Term Insurance a Must Buy

Can You Increase Your Term Insurance Cover?

Individual Life Insurance vs. Group Term Life Insurance

How To Calculate The Amount Of Term Life Insurance You Need?

Can I Get Term Insurance on Behalf of My Spouse?

Ideal Features of a Suitable Term Plan - Act Now for a Stress-free Future

Term Plans are Definitely Cheaper than You Think!

Term Plan with Spouse Cover

8 Things To Do After Buying Term Insurance

Should You Have Multiple Term Life Insurance Policies?

Term Insurance With Riders In India

Busting Myths and Facts About Term Insurance Policies

Know How to Invest at Every Age for Larger Returns

Insuring Against Disability With Disability Insurance Rider

Is Life Insurance Investment Worthy Enough

Advantages of Buying Term Insurance in Your 50s

Can Senior Citizens Avail Term Insurance?

Can I Extend the Tenure of My Term Insurance Plan?

Understanding Term Insurance Riders

Why Premium Amount for Term Insurance is So Low?

What Is a Passive Income? Why Should You Use It to Buy a Term Plan?

Calculating Term Insurance Premium

Term Insurance Basics You Should Know

Can A Housewife Buy a Term Insurance Plan - All You Need to Know

Do Beneficiaries Pay Taxes on Term Insurance?

5 Things To Consider While Buying Term Insurance Plan

All you need to Know about Term Insurance Plans for Housewives

Does Your Term Insurance Plan Cover Death Due to COVID-19?

How Much Cover Should I Take In A Term Plan?

Comparing Term Plans – What Should You Look Out For

Steps on How to Buy Term Insurance Online

Insuring Against Accidents with an Accidental Death Insurance Rider

Key Differences Between Term Insurance, ULIPs, And Health Insurance

Are The Add-ons and Optional Features of Term Insurance Plans Actually Beneficial?

Is a Term Insurance Policy Portable?

Everything About Claim Settlement Ratio for Term Insurance

Term Insurance Plans and Policies for Smokers

Gift Your Father A Term Insurance Plan This Father's Day

Endowment Plans vs Term Plans: Understanding the difference

4 Reasons Why You Need Critical Illness Cover

Importance of Term Insurance at Every Stage of Your Life

Can Non-Resident Indians (NRIs) Buy Term Insurance In India?

Why Buying a Term Plan Is Smarter Than Traditional Life Insurance Products

8 Factors to consider before choosing a Critical Illness Insurance

Term Insurance – Why You Must Include In Your Financial Planning?

Is term Insurance Needed for People With No Dependents?

All About Term Insurance Inbuilt Coverage

How To Choose the Right Sum Assured Under a Term Plan?

What All Documents Required For Term Insurance In India?

Should Youngsters, Working Couples Buy Term Insurance Plans?

How Not To Get Your Term Insurance Claim Rejected

How to Ensure That Your Term Insurance Claims Are Never Rejected?

How to Surrender Term Life Insurance When you have No Liabilities

Tips to Choose the Right Term Period for Term Insurance Plan

Can I Make Changes to My Term Insurance Policy Post Purchase?

Why Buy Term Insurance Even at Rising Rates?

9 Ways to Help Family Members in Financial Trouble

How Does Term Life Insurance Work? Learn the Benefits

What is a short term insurance policy?

Why Term Plan Should Be The First Step To Securing Your Future?

Term Insurance with Critical Illness

Planning For Children's Future

Insuring Protection Against Death With Death Insurance Rider

Make Your Online Term Plan Your Familys Monthly Payout

Do I Need to Give a Medical Test for Term Insurance in India?

What Should You opt for - Limited or Premium Pay?

Which Term Insurance to Choose: Lump Sum or Staggered Pay-out Plan?

How Much Term Life Insurance Cover Do I Need in India?

Do You Need Term Insurance Cover After Retirement?