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Modi: ₹22,000 crore paid to 11-lakh families under PMJJBY
PM Modi shared PMJJBY has paid ₹22,000 crore to 11-lakh families, with 27 crore enrolled. The program builds a base for retail insurance growth, a key watch for life insurers.
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Prime Minister Narendra Modi, in his Sunday Mann Ki Baat address, said roughly 11-lakh families have received ₹22,000 crore under the Pradhan Mantri Jeevan Jyoti Bima Yojana. More than 27 crore people have enrolled in the scheme. The annual premium is ₹436 – about ₹1.50 a day – for a ₹2 lakh death cover.
The Insurance Signal
The numbers deserve attention from anyone tracking India's life insurance market. PMJJBY is a group term-life product run through public-sector banks and the government's own insurance apparatus. Private insurers do not underwrite it directly. The enrolment base of 27 crore individuals, however, creates a behavioral shift: families that now hold a ₹436 policy are significantly cheaper to convert to a private term or health plan than a household with no insurance at all.
The claims pool of 11-lakh events over the scheme's life generates mortality experience data by age and cause. That data is a valuable pricing input for any insurer, including LIC, that handles similar risk. Based on 27 crore enrollees and ₹22,000 crore in payouts, the government's per-person claims cost works out to roughly ₹2,000 over the scheme's entire life. The annual premium revenue from each enrollee is ₹436, implying a claims ratio that private underwriters would study closely.
The same logic applies to the Pradhan Mantri Suraksha Bima Yojana, which covers accidental death up to ₹2 lakh for an annual premium of ₹20. Modi said 58 crore people have enrolled, including 28 crore women. Claims paid total ₹3,700 crore. At that scale, even a ₹20 premium builds a customer acquisition funnel.