Facebook Pixel Mis-selling of a different kind | Business Standard - newspaper - Les denne historien på Magzter.com

Prøve GULL - Gratis

Mis-selling of a different kind

Business Standard

|

May 26, 2025

Do PMJJBY and PMSBY genuinely benefit people or are they merely statistical illusions?

- Tamal Bandyopadhyay

We are all aware of the phenomenon of mis-selling of insurance and mutual fund products at bank branches across India. Some banks are more aggressive in this respect than others. A few relationship managers are more target-driven than their peers. On social media, we often come across videos of bosses abusing branch bankers for missing targets.

This is, however, only one side of the story. There's another, where the sufferers are mostly poor people—those who form the bottom of the pyramid.

Two insurance products involved here are the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and the Pradhan Mantri Suraksha Bima Yojana (PMSBY). Most customers are not aware of what they are buying and why.

PMJJBY is a life insurance scheme that offers a one-year term life cover, renewable annually, with an assured sum of ₹2 lakh for death due to any reason. The coverage period is one year, renewable annually, and the premium is ₹436. Initially, it was ₹330 but was raised in June 2022.

PMSBY is a government-backed accident insurance scheme, which offers accidental death and disability cover to individuals aged between 18 and 70, at a premium of ₹20 per annum. It offers an assured sum of ₹2 lakh for accidental death, or total and irrecoverable loss of both eyes or hands/feet, and ₹1 lakh for partial disability.

Both PMJJBY and PMSBY have been in force for over a decade now. They were announced in the 2015 Union Budget by then Finance Minister Arun Jaitley and were launched by Prime Minister Narendra Modi on May 9, 2015, in Kolkata.

All savings bank account holders aged 18–50 are eligible for both. The premium is debited automatically from the subscribers' accounts. This is one of the contributing factors to the problem. More on this later.

FLERE HISTORIER FRA Business Standard

Business Standard

Contractors used to review smart glasses data: Meta

Social-media conglomerate Meta on Wednesday said it used “contractors” to review data and content shared with Meta AI by RayBan Meta glass users to improve users’ experience.

time to read

1 mins

March 06, 2026

Business Standard

India seeks to retain tariff edge over Asian peers in US trade deal

In its trade deal with the United States (US), India is likely to insist on retaining a tariff advantage over its Asian peers, seeking to preserve the gains in relative market access it secured before the American Supreme Court struck down the country-specific tariffs imposed by the Donald Trump administration.

time to read

2 mins

March 06, 2026

Business Standard

Perumal Murugan’s learning curve

In January 2015, Aniruddhan Vasudevan translated Perumal Murugan's Facebook note in which the author stated, \"Author Perumal Murugan has died.

time to read

3 mins

March 06, 2026

Business Standard

Business Standard

Indian gas firms may cut industrial supply if Qatar halt persists

India’s gas firms may consider reviewing allocations to industrial users if the production halt by QatarEnergy is prolonged amid the deepening crisis in West Asia, said three senior government officials familiar with the development.

time to read

2 mins

March 06, 2026

Business Standard

NPCI signals identity reboot

Looks to build brand recall beyond the platforms it powers

time to read

2 mins

March 06, 2026

Business Standard

₹ posts best day in a month on RBI $ sales

A day after hitting a fresh low and breaching the 92 mark against the dollar, the rupee on Thursday gained 0.6 per cent to become the best-performing Asian currency, supported by dollar sales by the central bank.

time to read

2 mins

March 06, 2026

Business Standard

Business Standard

'Excited' about India trade deal: US dy secy of state

Says US not to make same mistakes with India as it did with China

time to read

2 mins

March 06, 2026

Business Standard

Moving abroad for a new job? What happens to your EPF savings

Relocating overseas for work does not automatically close your Employees’ Provident Fund (EPF) account.

time to read

1 min

March 06, 2026

Business Standard

Business Standard

Home ownership is about trust, not just loans

Over the past few years, Aavas Financiers has redefined its engagement with customers, communities, and employees by moving beyond product-led communication to focus on experience, purpose, and inclusion. This shift has strengthened storytelling, deepened engagement, and built long-term trust.

time to read

2 mins

March 06, 2026

Business Standard

Mkts snap 3-day losing streak, rebound over 1%

Benchmark indices rebounded on Thursday, rising more than 1 per cent after three sessions of sharp losses, as global risk appetite improved despite continued tensions in West Asia.

time to read

2 mins

March 06, 2026

Listen

Translate

Share

-
+

Change font size