Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) which was announced during the budget this year is the cheapest life insurance scheme in India. This scheme is a part of social security scheme with an objective of providing insurance to the poor people of India. The annual premium for the scheme is just Rs. 330 excluding the service tax. The premium amount will be auto-debited from the policy holder's bank account every year before the renewal date. At such a low cost, the insurance penetration will further increase and reach the poor people who are unable to buy the policy due to high premiums by big market players.

Coverage of Rs.2,00,000 will be given to the policy holders. Both natural as well as accidental death risks are covered.

From when will the scheme start

Enrollment and auto-debit consent should be given by 31^st May 2015 for the initial life cover for the period 01^st June 2015 to 31^st May 2016. The policy has to be renewed annually in the month of June by the policy holder.

How to get this insurance – List of banks

The scheme would be offered by Life Insurance Corporation of India. And as of now, following banks have signed MoU with LIC and other insurance players to offer the insurance to their customers. You can visit following banks starting from o1 June, 2015 and get the application form, fill it and submit copy of Aadhar copy as a proof. Check out the consent form to be filled by individuals who are buying this policy.

1. Canara bank
2. State bank of India
3. Bank of Maharashtra
4. IDBI bank
5. Vijaya bank
6. Union bank of India
7. Jammu and Kashmir Bank
8. Karnataka Bank
9. Dena Bank
10. The Madhya Bihar Gramin Bank (MBGB)
11. Tamilnad Mercantile Bank
12. ICICI bank
13. State bank of Travancore
14. Punjab National Bank
15. Punjab Gramin Bank
16. Syndicate Bank
17. Federal Bank
18. Corporation Bank
19. Jammu and Kashmir Bank
20. HDFC Bank
21. State Bank of Mysore

There would be more banks who would offer this insurance. Above list would be updated as and when banks announce their partnership with life insurance companies.

Should you buy this policy:

Definitely everyone should get benefit of this policy considering the premium and coverage and also spread awareness. For e.g. you can ask your maids, other workers in your house to buy this insurance.