Pradhan Mantri Sneha Bandhan Yojana
Launched keeping festival season in mind–Perfect timing
Scheme says -A Fixed deposit that can be gifted as gift card.FD is automatically linked to Personal accident cover, PM jeevan jyoti yojana (PMJJY)and PM Suraksha Bima Yojana(PMSBY).
Target-Investments and Risk Coverage, Financial Safety to lower income group strata of society
Drawback-Maximum cover for both PA & Life Insurance is 2 lakh only.
Needs to be properly marketed, more awareness should be raised so that right segment can be targeted.
Scheme has 3 variants of gift card if Rs 201, Rs 351 and Rs 5001.
For Rs 201 scheme— Rs 24 as premium of 2years fro PMSBY which is accidental cover
177 will be invested as term deposit @ 8% for 10 years.
Interest earned will be used to pay subsequent premiums.
While scheme should be appreciated there are some operational and implementation issues like who will pay the premium, what happens in case of death of insured.
Government needs to work upon these issues, in all this can be considered a meticulous stand given the upcoming festival seasons.