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PMJJBY and PMSBY Schemes - Major Differences and Similarities
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Here is what you need to know about PMJJBY and PMSBY Schemes

Sudha and Ravi are the middle-income group couples. They need to run their family with the limited income that both are getting. Although both Sudha and Ravi are going for jobs on a daily wage basis, they still have to give good education for their children and good shelter. Moreover, they also have to provide a secure future for their children. With their limited daily wages, it may not be possible for them to make considerable savings because whatever they earn goes for their house rental, food, school fee, and other fundamental needs. 

When this being the reality, how can Sudha and Ravi give financial security for their children and hope for their future? 

To make this possible, the Pradhan Mantri Suraksha Bima Yojana (PMSBY) and Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY)are the best choices for Sudha and Ravi and many other people who have a similar situation.

So, let’s know in detail about both the plans. However, before starting to compare PMJJBY and PMSBYit is essential first to understand what these plans are and to whom do they benefit primarily.

Understanding PMSBY and PMJJBY in details: 

What is (Pradhan Mantri Suraksha Bima Yojana) PMSBY?

PMSBY full form is Pradhan Mantri Suraksha Bima Yojana which is a government-backed insurance plan. This is an accident insurance plan, which offers accidental death benefits. It also provides disability cover in case of disability or death due to an accident. This scheme is being provided through all general insurance companies and public sector insurance companies. Therefore, you can get it from anywhere according to your convenience. This scheme is best for individuals of the age group between 18 and 70 years. About 124 million Indians have opted for this scheme as of 26th February 2016. 

What is (Pradhan Mantri Jeevan Jyoti Bima Yojana) PMJJBY?

PMJJBY full form is Pradhan Mantri Jeevan Jyoti Bima Yojana which is a government scheme that offers life cover if the insured demises. This scheme is being provided by LIC and other life insurance companies and banks in India. Individuals from 18 to 50 years of age can opt for this plan. 

Up to Rs 2 lakh sum assured is given to the insured’s family towards this scheme at the time of settlement. However, one individual can hold only one policy. you cannot opt for the same policy in different banks. The premium for these plans is deducted from the savings bank account, which is linked to the scheme. You are flexible to buy this plan from the same bank in which you have an account. 

The money that is paid towards the premium is non-refundable in case no claims are made. This plan offers a tax benefit for the premium paid. Therefore, it is absolutely tax-free. The nominee will get the sum assured in case the insured dies. If you leave the scheme, you can also re-join it when you want it. 

Top Similarities between PMJJBY and PMSBY

  1. Both the schemes have tax benefits that the premium paid is tax-free.
  2. Both the schemes are Government-backed insurance plans; therefore, they can be availed by all residents of India, regardless of their incomes. 
  3. Both the plans are introduced by the Indian Government. 
  4. Both the schemes are available both in the public sector banks and private sector banks. 
  5. However, to own these schemes, it is essential to have a savings bank account in your name. 

After knowing some fundamental similarities of the plans, here are the differences that you should also know: 

Top 7 Differences between PMJJBY and PMSBY


1 Pradhan Mantri Jeevan Jyoti Bima Yojana Pradhan Mantri Suraksha Bima Yojana
2 This is a life insurance scheme. This is an accidental insurance scheme.
3 It offers life coverage to the insured It offers accidental coverage to the insured
4 The age limit for this scheme is a minimum of 18 years and a maximum of 50 years of age at entry level The age limit for this scheme is a minimum of 18 years and a maximum of 70 years
5 The annual premium for this plan is Rs. 330 per individual. The yearly premium for this plan is Rs.12/- per individual.
6 In case of the policyholder’s demise, the beneficiary receives a death benefit of Rs 2 lakh. In case of a policyholder’s death due to an accident, then Rs 2 lakh is given to the beneficiary as the death benefit. And if the insured suffers permanent total disability due to an accident, then the insured receives Rs 2 lakh. And in case of permanent partial disability then Rs 1 lakh is offered to the policyholder.
7 The life cover for this plan is given regardless of the death cause The life cover for this plan is provided for both death and disability only due to an accident.


Undeniably these two schemes, PMJJBY and PMSBYare the best choices for people who fall under low-income and middle-income groups. Although people from any income groups can avail these policies. These two plans from the Government of India have given peace of mind and hope to people for their family’s future security at a nominal amount. 

Anyone under this income group can easily manage to pay the above-said premium amount, which is, in fact, an annual payment. Therefore, this may not be a burden to them. At the same time, the flexibility to repay the premium when the continuity is lost is another major point to say about this plan because the benefit will still continue. Now Sudha and Ravi can create a secured financial status for their children and family. And you should also opt for both plans to enjoy a secured financial future.

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