PM Narendra Modi to launch 3 mega social security schemes on May 9

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New Delhi | Published: May 6, 2015 9:04:41 AM

The schemes to be launched by Narendra Modi are expected to address the issue of very low coverage of life or accident insurance and old age income in the country.

narendra modi schemesMore than a dozen Union ministers will also fan out across the country on May 9 for the roll-out of Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Atal Pension Yojana (APY). (AP)

After Jan Dhan, the government will launch three mega social security initiatives on Saturday — one pension and two insurance schemes.

The schemes will be launched by Prime Minister Narendra Modi on May 9 in Kolkata, capital of West Bengal where assembly elections are due next year.

More than a dozen Union ministers will also fan out across the country that day for the roll-out of Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Atal Pension Yojana (APY).

A Finance Ministry statement said the initiatives are aimed at providing affordable universal access to essential social security protection in a convenient manner linked to auto-debit facility from bank accounts.

The schemes are expected to address the issue of very low coverage of life or accident insurance and old age income in the country, it said.

The launch functions will also be held at 116 locations, including the national capital and major centres of different states and district headquarters.

Chief Ministers and Union Ministers will attend the functions at various locations in the country, it said.

Senior Union Ministers including the Home Minister Rajnath Singh (Lucknow), Finance Minister Arun Jaitley (Mumbai), External Affairs Minister Sushma Swaraj (Bhopal), Urban Development Venkaiah Naidu (Varanasi), Food, Consumer Affairs and Public Distribution Minister Ram Vilas Paswan (Patna) and Road Transport and Highways Minister Nitin Gadkari (Bhagalpur) will launch the schemes.

PMSBY will offer a renewable one year accidental death-cum-disability cover of Rs 2 lakh for partial/permanent disability to all savings bank account holders in the age group of 18-70 years for a premium of Rs 12 per annum per subscriber.

The scheme would be administered through public sector general insurance companies or other general insurance firms willing to offer the product on similar terms on the choice of the bank concerned.

PMJJBY on the other hand will offer a renewable one year life cover of Rs 2 lakh to all savings bank account holders in the age group of 18-50 years, covering death due to any reason, for a premium of Rs 330 per annum per subscriber.

The scheme would be offered or administered through LIC or other Life Insurance companies willing to offer the product on similar terms on the choice of the bank concerned.

The pension scheme will focus on the unorganised sector and provide subscribers a fixed minimum pension of Rs 1,000, 2,000, 3,000, 4,000 or Rs 5,000 per month starting at the age of 60 years, depending on the contribution option exercised on entering at an age between 18 and 40 years.

The period of contribution by any subscriber under APY would be 20 years or more.

The fixed minimum pension would be guaranteed by the government.

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