This Children’s Day, Secure Your Child’s Health By Choosing A Health Insurance

As a parent, securing the future of your children is probably the most important responsibility on your shoulders. While giving them a loving home, good education and a safe environment are crucial. However, with changing times, ensuring good healthcare for your children is equally important. Vanishing playgrounds, smog-filled skies, endless gadgets, and stressful routines – these are just some of the many challenges that the children of today deal with on a daily basis. Did you know that 1 out of 8 kids in the age group of 4 to 16 years1 is at risk of getting a lifestyle disease in his/ her adulthood? Scary, isn’t it?

As a parent, one of the most difficult things to see is your child unwell. What can be all the more painful is having to compromise on the treatment they need due to a lack of resources. Many children often tend to have weak immunity and thus are more likely to develop an illness. Children, while growing up, are also more prone to accidents. Thus, keeping in mind all these health concerns, it is only prudent that as a parent, you invest in the right health insurance for your child so that in your time of need, you can provide the best medical care for your child without having to worry about the cost of treatment. 

When you buy medical insurance for your child, you can take care of their healthcare requirements. The policy would cover hospitalisation expenses, health check-ups, vaccinations, ambulance charges and a lot more. You not only have mental peace, but the right health insurance can also help in securing your finances.

When planning to buy medical insurance for your child, you need to keep in mind several factors. To begin with, you should be aware of the types of health insurance policies and how they work so that you can pick the best possible insurance plan. 

Types of child insurance plans

Broadly there are two kinds of health insurance policies that you can opt for. Let us take a look at them both. 

  1. Individual health plans for children

    An individual health insurance policy, as the name suggests, is an individual plan. Here, the sum insured is separate for every individual in the family. For example, if the sum insured for the health insurance policy is INR 5 lakhs, and the health plan is for four members, then each member will have coverage of INR 5 lakhs, which can be claimed only for the medical treatment of that member. However, bear in mind that children below the age of 18 years cannot be covered under an individual health plan. They can be included in a family floater plan with either of the parents in the same floater plan. Most plans cover financially dependent children only up to the age of 25 years.

  2. Family floater health insurance for children

    The other type of health insurance policy for children that you can opt for is by adding the child/ children to a family floater policy. Here, the whole family comes under a single policy and shares the sum insured.

    Take a look at this example. Ravi Sharma has a family floater policy of INR 5 lakhs that covers him, his wife, his son and his daughter. Ravi had a motor accident, he is hospitalised, and his hospital bill is INR 3.5 lakhs. The health insurance policy covers the expenses. A few months later, his daughter fell unwell and needed to spend a few days in the hospital. The medical bills are INR 2.5 lakhs. In this case, the policy will cover only INR 1.5 lakhs, as the total coverage is INR 5 lakhs. The remaining INR 1 lakh will be covered by Ravi Sharma.

    Most health insurance plans offer coverage for up to 2 children only. While the premium amount will increase with the addition of every member, the overall difference in the cost of the health insurance policy will be reasonable.

How to choose the best health insurance policy for your child?

When it comes to the safety of your child, you would want nothing but the best. Therefore, make sure you put in some time and effort in finding the most suitable health insurance. Keep the following points in mind:

  1. Check the coverage

    First and foremost, see the coverage that the plan offers. Make sure you keep in mind to include the maximum features. Try opting for plans that include daycare treatments, OPD, pre and post-hospitalisation charges etc. Also, keep in mind that some health plans may not offer coverage for all illnesses and treatments. In such a scenario, you may want to opt for riders for enhanced coverage.

  2. Child-specific needs

    Most family floater health plans cover children from 3 months of age. You can also get coverage for a newborn baby if you have opted for maternity cover. Such child health insurance plans also include the costs of vaccination etc. As different plans offer different coverage, check the details in advance.

  3. Pre-existing diseases

    If your child suffers from an illness or there’s a family history of some disease, it is highly recommended that you discuss the same with your insurer. You can check for the waiting period that would be required and choose an appropriate plan.

  4. Opt for an insurer with a bigger network of hospitals

    When you have an insurer with a big hospital network, you can get good-quality treatment anywhere in the country. Also, try to pick a company that offers coverage in hospitals that are in your vicinity.


Health insurance coverage and premium go hand in hand. While it is natural to feel the urge to get the maximum coverage for your child, it is suggested that when choosing a policy, you keep in mind its affordability. Make sure that the premium suits your budget and you are in a position to pay it regularly. Only when you renew the insurance policy on a regular basis, would you be able to provide your child with the best possible care? 


This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.

Here’s How You Can Celebrate National Women’s Health & Fitness Day 2022

The very last Wednesday in September is commemorated as National Women’s Health and Fitness Day. This particular day is set aside to emphasise the value of health and well-being consciousness for all females. Although maintaining a healthy lifestyle is vital for both males and females, this day recognises that every gender has different needs in terms of health.

Women are advancing in all spheres of life, including politics, sports, the armed forces, films, business, and space; the list can go on and on. In every industry, they are shattering gender inequalities while successfully managing their households and families. However, they are so involved in caring for others that they frequently neglect their well-being.

National Women’s Health & Fitness Day 2022: 6 Ways To Celebrate

Here are some things that can help to celebrate National Women’s Health & Fitness Day and pledge always to keep your wellness a priority.

  1. Find an event to participate in:

    With the world coming closer due to internet connectivity and the working-out-from-home concept being prevalent, you can choose an online event wherein you can participate as the National Women’s Health & Fitness Day 2022. This could be a stepping stone for your fitness journey, and you would get to know more about diet, fitness, sports, mental health, or other health-related issues.

  2. Go for a health check-up:

    National women’s health & fitness day is your day. Take charge and keep the day for your mind and body. Schedule an appointment and get a complete body check-up done. It will help you to know your health and take necessary preventive measures.

    Women always tend to put others in the family at a higher priority and hence neglect to take care of their health. Regular preventive health check-ups are the first steps towards a healthier lifestyle!

  3. Start a healthy lifestyle:

    On this national women’s health & fitness day 2022, give yourself a healthier and longer life. For that, you need to cut down on junk and eat healthily. Small lifestyle changes like getting enough sleep, keeping yourself away from excessive social media, and keeping calm can go a long way.

  4. Take your friends for a workout:

    Working out becomes more enjoyable when you do it with your friends. Studies have proved that exercising with friends can help maintain consistency and motivate you to work out daily. You are likely to lose more weight as compared to exercising alone.

  5. Pamper yourself with healthy beauty care:

    Cut down the chemical-based products, and go for healthy skin and hair care regimen. Consult a dermatologist and enjoy your day. 

  6. Get yourself the best women health insurance:

    The best way to celebrate health and fitness day is to choose health insurance for women. Women today are more susceptible to specific diseases after a certain age which a generic health insurance policy may not address.

    A survey by IRDAI (Insurance Regulatory and Development Authority of India) has confirmed that a much lower %³ of the insured population in India are women, which is lopsided. Hence providing adequate women health insurance coverage would encourage higher penetration of insurance in India.

Importance of women health insurance in India:

Several diseases only affect women, including breast cancer, reproductive organ cancer, post-pregnancy/ delivery complications, etc. The cost of treating these conditions is rather high. A family may experience financial difficulties if the ladies of the house have not opted for a suitable health insurance plan..

Here are some of the key advantages of purchasing quality women’s health insurance plans

  1. High cost of treatment:

    With high medical inflation¹ in India, even the cost of treatment for female ailments has been rising over the years. The most prevalent types of cancers in women are breast, cervix and gall bladder², which could be an expensive affair without insurance coverage. Costs starting with mammography or pap smear test to biopsy and blood tests could amount to Rs 1-6 lakhs, including radiotherapy or chemotherapy treatments depending on the stage of cancer, where it is affected, etc. Even other treatment costs could increase your out-of-pocket expenses if there is no insurance coverage.

  2. Women-related ailments:

    Ensure that women-related illnesses mentioned before get addressed in a specific women’s health insurance. Issues such as PCOS (polycystic ovarian syndrome), uterine fibroids, pelvic inflammatory disease or endometriosis need specific treatment. In order to get proper treatment for these illnesses, a specific women health insurance plan is necessary.

  3. Maternity coverage (with newborn treatment):

    The cost of maternity expenses and newborn treatment is rising, and adequate health insurance coverage is necessary. This is where a cashless hospitalisation comes in handy, as this is a planned expense.

  4. Mental health well-being:

    After the IRDAI⁴ has mandated coverage of all mental ailments in health insurance plans, it is important to opt for a proper comprehensive health insurance plan to cover possible mental health concerns such as postpartum depression, etc.

  5. Heart conditions:

    The incidence of cardiac issues⁵ has increased significantly in women and proper treatment of the same is necessary. This is where women’s health insurance plans are effective by properly disclosing all information before the inception of the plan.

  6. High chance of gestational diabetes:

    There is a high chance of gestational diabetes of almost 20%⁶ for women in India during pregnancy. Availing appropriate insurance for women becomes necessary beforehand and is a prudent idea.

Other than these specific benefits, women would continue to receive regular health insurance benefits such as:

  1. In-patient cashless hospitalisation along with pre and hospitalisation claims
  2. Easy claim settlement with digitalisation
  3. Tax benefits for the premium paid towards the medical insurance for women upto Rs 25,000 for self, spouse and dependent children and an additional amount for premium payment for dependent parents.

Best women’s health insurance plans

Here is a list of some of the women-specific health insurance plans that you can avail of

Policy Name

Entry age


Tata AIG-Medicare Premier Plan

18-65 years

  • Covers daycare procedure
  • Maternity expenses covered after a waiting period of 48 months
  • Enjoy a wide network of 7000+ hospitals

HDFC Ergo- my:health Women Health Suraksha

18-46 years

  • Wide range of coverage in terms of women-related cancers, 41 types of critical diseases, surgeries, cardiac diseases
  • Coverage for maternity and newborn baby

Reliance Healthgain plan

18-65 years

  • Individual and family floaters
  • 5% discount for women, girl child
  • Option of sum assured restoration

Bajaj Allianz Women’s health insurance: Critical illness plans

21-65 years

  • Low premium
  • Easy claim settlement
  • Critical illness coverage for 8 illnesses
  • Children education benefit


It is crucial to enrol in the best women’s health insurance plans to meet gender-specific medical problems for everyone. No wonder our women are the strongest, but this national women’s health & fitness day lets spread awareness about women’s health, wellbeing, and the importance of medical insurance for women, giving them a longer, healthier and cheerful life. Select women’s health insurance plans that meet your unique needs and offer you the finest advantages.

What Is Deductible In Health Insurance

Introduction : Deductibles in health insurance policies

The long literature of “terms and conditions” that accompanies your health insurance policy papers, is often the most neglected aspect of the purchase. However, it can be rather consequential, and thus it is imperative that you know every component of a health insurance policy before you purchase one. Ignoring these aspects of health insurance could cause several complications while filing the claims. 

Deductible health insurance is one of these terms that you can encounter when buying health insurance coverage. It’s essential to know about the deductibles in health insurance. Read on to know more about the deductible amount in health insurance, medical billing, and much more!

What deductible means in health insurance? 

It is the amount that is paid to your health insurance provider before it proceeds with your claim. This shows that once the claim amount surpasses the deductible level, the insurer is required to pay the claim amount. The primary benefit of a deductible is that it lowers premiums, as the larger the deductible amount, the lesser your premium would be. 

Lets us see this example, Ravi Kumar has a health insurance plan with a sum insured of INR 4 lakhs, where the deductible is INR 50,000. After a motor accident Ravi was hospitalised for 4 days. The total bill was INR 3 lakhs. Now, Ravi will make a payment of INR 50,000 and the remaining INR 2.5 lakhs will be covered by his insurance company. Let’s take a different situation, suppose Ravi Kumar is admitted to a hospital and his hospital bill is INR 35,000. In this case, because the claim is less than the deductible (INR 50,000), the entire bill is to be paid by Ravi and the insurance company will not pay anything. 

Factors impacting the deductible amount in the health insurance policy 

The following considerations can ‌determine the insurance deductible:

  • Any pre-existing medical issues, such as diabetes, asthma, etc., (before you get a health plan)
  • Your age, and your present health status
  • Any previous illnesses or concerns
  • Your current way of life and practices, such as smoking and drinking

Types of health insurance deductibles

  • Voluntary deductible

    Here, the insurance deductible is optional. You, as the policyholder, can choose whether you want to pay the deductible or not. You also have the freedom to choose an amount that suits your budget. A higher deductible reduces the premium. This is more useful if you do not have a serious sickness running in the family that could require financial help.

  • Compulsory deductible

    The insurance provider is in charge of this required deductible. It is a set sum that the policyholder is required to pay mandatorily while filing a claim. Even after the deductible, the premium amount will remain the same.

  • Comparative deductible

    Comparative deductibles are only available for family health insurance plans. All family members, including the spouse, kids, parents, and mother and father, are covered under family floater policies.

Why should you opt for a health insurance deductible?

The benefits of a health insurance deductible are given below:

  • When you choose deductibles, it decreases the premium applied to your health insurance policy.
  • It discourages you from making small/ insignificant claims, which helps you earn a claim bonus (NCB). This can further be used to increase the coverage provided by your primary health plan.
  • It reduces the frequency of filing claims unnecessary, which keeps the insurance money intact which you can use later when in actual need.

Benefits of deductibles in health insurance

Disadvantages of deductibles in health insurance

Deductibles in medical billings can surely help lower the cost of health insurance premiums. However, they also have some drawbacks. Keep these in mind when you opt for a deductible: 

  • If your filed claim is less than your deductible amount, then you will have to bear the medical billing and more charges. 
  • While filing the claim, if it is larger than the deductible amount then you will have to bear the cost and pay out of your pocket.

Deductible and copay in health insurance

Every time you use medical care services and file a claim with the insurance provider, you pay a fixed amount in the form of a co-payment. The insured/policyholder agrees to pay a part of the claim amount, which can either be a fixed amount or a set percentage. Co-payment is a scheme applied by insurance providers to reduce the financial burden and also avoid the unnecessary filing of frequent claims.

How to choose a health insurance deductible?

Even though you might think that picking a higher deductible results in a reduced premium, doing so might not be a good idea, especially when purchasing health insurance. In the event of a medical emergency, health insurance provides financial protection. As a result, before selecting the ‌coverage, you must make an informed decision. You might choose a higher deductible if you can pay more out of pocket while increasing the claim. However, even if you must pay a higher premium, choose a lower deductible if you want your insurance to pay for most of your medical costs.


A health insurance deductible is frequently viewed as a drawback of your health insurance policy, but it has several advantages. Thus, this clause should not be a concern. You must, however, pay attention to the deductible type and determine whether it serves your needs. After carefully assessing your insurance requirements, anticipated medical costs, and affordability, decide on the deductible’s size and kind.


  1. What happens if I don’t reach the deductible amount?

    The insurance provider will withhold payment of the claim amount until you have reached the deductible sum specified in the health insurance policy. Following the payment of the deductible, the insurer will cover the remaining costs if the medical bill is greater than the deductible.

  2. Is having a low deductible for health insurance a good thing?

    Customers who expect frequent medical treatment owing to a protracted sickness or who believe they may not ‌ cover the whole cost of the treatment may benefit from a health insurance policy with a low deductible.

  3. Can deductible amounts vary for different health plans?

    Yes, the deductible amount can vary from insurer to insurer. It also depends on some other factors such as age and medical condition of the insured. 


This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.

Deferred Annuity: Meaning, Benefits, Types & How It Works

Financial planning is important in all phases of life. But planning for retirement is vital to secure social status and financial stability in your old age. A deferred annuity is one such retirement plan to secure your funds for the future. It is a retirement plan that provides your financial independence after a certain age. 

Receiving funds regularly or as lump sum post-retirement helps you cover your expenses and provide a regular source of income. Let’s discuss the deferred annuity plans and other significant details regarding the same. 

What is deferred annuity?

In simple words, it is a type of retirement plan. In this scheme, the insured individual makes a contract with the insurance company by which they will pay a series of lump-sum funds to the insurance company to build a retirement corpus. On vesting, this corpus would be utilised to pay a monthly or an annual pension to the annuitant.

How does deferred annuity work?

The deferred annuity works on a tax-deferred basis. The funds invested in the annuity plan can be withdrawn by the insured individual at any time during the tenure. 

  1. The amount accumulated is deferred of tax until they are withdrawn. The premium paid to build up the deferred annuity corpus is tax-free under section 80CCC upto INR 1.5 lakhs every year.
  2. Individuals only have to pay tax when they withdraw funds or when they start receiving income.
  3. The accumulation phase is the phase where the investor pays funds on the annuity.
  4. Annuity begins from the vesting date.
  5. At the time of vesting, the annuitant has an option to withdraw 1/3rd of the entire corpus as a tax-free amount under section 10(10A). The remaining amount must be utilised to purchase an annuity per the available options.
  6. The payout phase is when the funds are exchanged back to the investor as a pension. This is taxable in the hands of the annuitant.
  7. The income is usually planned to allow the investor and their spouse to receive income per the annuity chosen option.

Benefits associated with a deferred annuity

The flexibility of the deferred annuity allows the investor to withdraw funds anytime they want or even transfer funds to meet their needs. There is no compulsion to convert the funds into a series of income as you can withdraw it as a lump sum anytime you want.

Some of the benefits of a deferred annuity are discussed below,

  1. Multiple payout options:

    The funds accumulated can be paid out per the schemes you finalise with the insurer. You can receive payouts for your lifetime or for your spouse or opt for other annuity options as well.

  2. Delay your payments:

    The funds don’t have to be paid out immediately. In a deferred annuity, you must wait until the deferred phase is complete. After this period, you can either opt for payouts or annuitize them even longer.

  3. Easy investments

    You can add funds as lump sums or series during the accumulation phase. You can opt for the best investment schemes depending on the company’s policies.

  4. Easy withdrawals

    The funds can be withdrawn as a lump sum or as a series. The withdrawn funds will be taxable, be it a lump sum or periodic. However, their will interest earned is included in these funds.

  5. Tax exemption on the premium payment

    As mentioned earlier, the premium paid to build the corpus is tax-free under section 80CCC upto INR 1.5 lakhs per annum.

Limitations of a deferred annuity

As much as the deferred annuity is a safe, regular income option for retirement, it also has limitations of its own.

  • No tax benefits

    The income received from these annuity plans is taxable. Even though the taxes are deferred when they are accumulated, the investors must pay the taxes once they begin to receive the income or withdraw the lump sums.

  • Does not allow premature surrender

    The funds are not accessible and are accumulated until they attend maturity.

  • Expensive

    The investors pay higher fees and expenses for deferred annuity compared to other insurance schemes. 

Deferred annuity payouts

In annuities, the payouts are made as a series of income for the investor for their lifetime. The payout value is decided by the individuals while they enter into the scheme. The scheme’s main aim is to provide a regular source of income for them and their spouse for their lifetime.

In a deferred annuity, the payouts are paid after the deferment period. During this phase, the funds are accumulated, and the interest is earned over them. The funds accumulated are tax-deferred. However, the individuals are expected to pay the taxes for the income they receive as per their tax allotments.

Should you invest in a deferred annuity?

Financial planning is an essential safety protocol. However, choosing the right one is even more important. Understanding your financial needs and requirements, you can opt for an ideal investment. 

A deferred annuity can be a great choice if you don’t have any urgent funds or debts. As in a deferred annuity, you only receive funds after the deferment phase, it’s important to understand your financial needs until the payouts are available. A deferred annuity is also a great option if you and your spouse aim for regular income for life. 

Difference between a deferred annuity and tax deferral

People often confuse deferred annuity and tax deferral. Both are different. Tax deferral is a feature that comes under annuities.

In general, no taxes are paid on the income received from the funds. The amount stays tax-deferred until its withdrawn. Taxes are paid when they are released from the tax-deferred account. Letting the funds stay in the account, allowing reinvesting and gaining more benefits from the funds.

Difference between a deferred annuity and an immediate annuity

Even though both deferred annuity and immediate annuity are retirement plans, they both vary by payout timing. Both the funds allocate different payout receiving timing.

  • In an immediate annuity, the investor can receive income immediately after investing.
  • In a deferred annuity, the investor needs to wait to receive income. The funds undergo a deferment phase before the payout begins. 


Being financially independent after retirement is the ultimate financial goal. An annuity plan allows individuals to source a regular income Post-retirement. This ensures financial stability and maintains the social status of the individual.

A deferred annuity can be a great option as it offers tax deferment until the funds are withdrawn. If you aren’t in any debt or emergency, then opting for deferred annuity allows you to save better funds for yourself and your spouse, whoever lives longer.


  1. Can I withdraw my funds earlier?

    Early withdrawal or withdrawing of the funds before the individual reaches 59.5 years can lead to a penalty. The investors have to pay a 10% penalty tax over the withdrawn funds along with the tax they were supposed to pay for the withdrawn funds. 

  2. What are the disadvantages of buying a deferred annuity plan?

    The main disadvantage while choosing a deferred annuity is doesn’t allow immediate withdrawal. Even no tax benefits are provided on the funds when they are withdrawn. On top of the taxes, most companies also fix high fees to maintain these accounts.

  3. Are pension and deferred annuities the same?

    No, even though both are retirement saving plans, they are different. In pension, the individual saves funds from their income and receives them after retirement. In deferred annuities, the incomes are received from the funds invested by the investor. However, the investors need not wait until retirement to gain the benefits. 

  4. Are there any death benefits in a deferred annuity?

    Yes, the deferred annuity provides death benefits. The funds accumulated are passed over to the beneficiary of the investor, as mentioned in their insurance contract. The funds are either paid out as lump sums or on periodic bases.


This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.

YSR Pension Kanuka: YSR Pension Eligibility Criteria, Benefits & Types

Introduction to YSR Pension Kanuka

Y.S.Jagan Mohan Reddy, the Chief Minister of Andhra Pradesh announced YSR Kanuka Pension Scheme in June 2019. YSR Pension Scheme has been launched by the state government of Andhra Pradesh for providing financial help to vulnerable sections of society. The vulnerable sections of the society include old age people, disabled persons, transgenders, cobblers, fishermen, weavers, widows, Dapu artists, patients suffering from chronic diseases, etc. The YSR Kanuka Pension Scheme beneficiaries began receiving the scheme’s benefits on 1 July 2019. 

Despite being a Sunday, the state government disbursed the second instalment of the funds to the vulnerable sections on March 1, 2020. Around 87.5% of beneficiaries got the benefit from the YSR pension on the same day. Thereafter, when the Covid 19 hit the world, the factories and shops were shut down for an uncertain time. At that time, this scheme emerged as a great help for pensioners. 

YSR Pension Kanuka eligibility criteria 

To be eligible for the YSR Pension Kanuka, the applicant must fulfil the given YSR pension eligibility. The applicant:

  • Must be from a Below Poverty Line family, with a White ration card
  • Should not be enrolled with any other Government pension scheme.
  • Should be the inhabitant of Andhra Pradesh
  • The required age criteria are explained below


Age limit

Old age pension

60 years or above 

Anti Retroviral pension

No age limit but the applicant should have the medical proof of 6 months of treatment

Transgenders pension

18 years or above

Toddy Tappers pension 

50 years or above

Fishermen pension

50 years or above 

Disabled pension 

No age limit

Widow pension

18 years or above 

Single women pension 

Divorced/ separated women: 35 years or above

Unmarried women (rural areas): 30 years or above

Unmarried women (urban areas): 35 years or above

Traditional cobblers pension 

40 years or above

Dappu artists pension

50 years or above 

Weaver’s pension 

50 years or above

Features of YSR Pension Kanuka

The features of the Andhra Pradesh government’s YSR Pension Scheme are given below:

  • YSR Pension Kanuka scheme is a great step that has been taken by the State Government of Andhra Pradesh to help the financially backward section of society.
  • During Covid 19 pandemic, the YSR Pension scheme helped the vulnerable people a lot by providing them with financial relief when they had no source to earn a livelihood.
  • The beneficiaries should be below the poverty line. In this way, this scheme helps poor people live a better life than before.
  • Those women who are widowed/separated are able to get the benefit from the YSR Pension Scheme to start their life once again 
  • YSR Pension Scheme is easily available to the beneficiaries whenever the state government allocates the amount to them.

Benefits of YSR Pension Kanuka

There are many benefits that the beneficiaries are getting from the YSR Pension Scheme. Some key benefits are given below:

  • The beneficiaries get the amount of INR 2250 from the social security pension scheme i.e. YSR Pension Kanuka scheme.
  • The government has reduced the age limit from 65 years to 60 years. Now, people who are 60 years old are eligible to get the pension as per the YSR Pension Kanuka eligibility criteria.
  • The patients who are suffering from chronic kidney diseases get the amount of INR 10000 with the help of the YSR Pension Scheme. In this way, they get significant financial help for getting the right treatment in government/private hospitals.
  • Transgenders, disabled people (at least 40%), and dappu artists get INR 3,000 as pension under this scheme.

Types of pensions under the YSR Pension Kanuka Scheme

YSR Pension Scheme provides the following types of pensions:

  • Old age Pension
  • Anti-Retroviral Therapy Pension (ART Pension): 
  • Transgenders Pension
  • Toddy tappers’ Pension
  • Fisherman Pension 
  • Disabled Pension
  • Widow Pension 
  • Single Women Pension
  • Traditional Cobblers pension
  • Dappu Artists Pension: 
  • Weavers Pension.
  • Chronic Kidney Disease of Unknown Etiology (CKDEU) Pension.

Steps to apply for YSR Pension Kanuka:

Follow the following steps to apply for the YSR Kanuka Pension scheme:

  • Step 2
    Then, click on the homepage to download the YSR Pension Kanuka Scheme application form.
  • Step 3
    After downloading the application form from the official website, take a printout to fill it out.
  • Step 4
    Confirm that you are eligible to apply for the pension scheme and have all the necessary documents to attach with the application form.
  • Step 5
    Fill out the form carefully and attach all the required documents i.e. Aadhar card, bank passbook, ID proof, BPL card, etc.
  • Step 6
    Submit the application form to the Gram Panchayat Office for verification.

Eligible applicants for the YSR pension scheme 

  • The old age people, transgender, toddy tappers, weavers, traditional cobblers, widows, single women, fishermen, and dappu artists are eligible to apply as per the YSR Pension Kanuka eligibility criterion.
  • Those who are 40% disabled physically or mentally can also apply for the YRS Pension Scheme. 
  • Furthermore, those who have taken antI-retroviral therapy for a continuous period of 6 months are also considered eligible to apply for this pension scheme. 
  • Special provision is for those patients who are suffering from chronic kidney disease of unknown etiology (CKDE) in this scheme.

How to check the beneficiary list for the YSR pension scheme?

The state government of Andhra Pradesh decided to provide monetary help to the socially backward people as well as the financially backward people so that they will be able to have a certain source of income to live a good life. Thousands of beneficiaries have got financial aid from the YSR Kanuka Pension Scheme. 

For checking the beneficiary list of the YSR Pension Scheme, follow the following steps:

  • Visit the official website of the YSR Pension Scheme i.e.
  • Enter the asked information on the webpage: name of district/ panchayat/ mandal.
  • Then, click on the link GO to submit the information.
  • Then, you will be able to get the list of beneficiaries on your computer screen.

Documents required for the YSR Kanuka Scheme

Those who want to get the benefits of the YSR Pension Kanuka should have the following documents:

  • They should have the BPL ration card to prove that they belong to the below poverty line
  • Aadhar card, residential proof, birth certificate/ identity proof, and bank certificate are mandatory for applying for the YSR Pension Scheme
  • Those who are transgenders should have a medical certificate.
  • A widowed woman should have the death certificate of her husband.

YSR Kanuka Pension selection procedure 

The selection procedure of the applicants for the YSR Kanuka Pension Scheme is given below: 

  • When the applicant submits the application to the Gram Panchayat, then the application is sent to the Gram Sabha for the verification process.
  • Gram Sabha approves the application and forwards the application to the municipal office for validating the filled information and documents.
  • Finally, MPDO (Municipal Planning and Development Office) disburses the pension to the eligible beneficiaries in the rural areas. The municipal office disburses the pension in the urban areas. 

Pension amount under YSR Pension Kanuka 

The state government of Andhra Pradesh has decided on the following amount to disburse to the beneficiaries under the YSR Kanuka Pension Scheme:

  • Old people, anti-retroviral, toddy tappers, traditional cobblers, single women, widowed women, and fishermen receive a monthly pension of INR 2250.
  • Transgender, disabled persons. dappu artists receive a monthly pension of INR 3000. 
  • The patients who are suffering from chronic kidney disease and are undergoing dialysis receive the amount of INR 10,000 every month for their better treatment in private/ government hospitals. 

How to search for a pension ID for YSR Pension Kanuka?

The process for searching for the pension ID for YSR Pension Kanuka Scheme is given below:

  • Firstly, go to the official website of the YSR Kanuka Pension Scheme i.e.
  • Then, you should click on the search option on the homepage.
  • You will get two options: Pension ID and Grievance ID.
  • You have to enter your pension ID/ration card number/ saderam ID
  • Then, you are asked to select your district/ mandal/ panchayat.
  • After submitting these details, you will be able to access the required information.

Track status for YSR Pension Kanuka:

The process of tracking the YSR Pension Kanuka status is given below:

  • You should visit the official website of the YSR Pension Kanuka Scheme to track the status of your application. The link to that official website is
  • On the homepage, you will get two options: Pension ID and Grievance ID.
  • Click on the desired option.
  • Then enter the required information.
  • Submit it.
  • Now, you will able to view the YSR Pension Kanuka status. 

YSR Pension Kanuka Customer Support:

In case of any discrepancy regarding the implementation of the YSR Kanuka Pension Scheme, you are able to contact the department of the rural department that comes under the government of Andhra Pradesh. The state government is always ready to work towards the welfare of the financially backward people. Hence, they can contact the society for eliminating rural poverty. The address of the society is 

Society for Elimination of Poverty,

2nd Floor, Dr N T.R. Administrative Block, Pandit Nehru RTC Bus Complex, 

Vijayawada, Andhra Pradesh-520001.

If you want you can call on 0866-2410017.


YSR Pension Scheme has been implemented by the state government of Andhra Pradesh to uplift the living standards of those vulnerable people who are dragging their lives. The process to fill out the application form and then its submission in the Gram Panchayat for the next procedures of approval is easy to understand for the common citizens. Many people have benefited as this scheme is divided into the 12 categories and the pension amount that has been decided to disburse is as per their needs.


  1. Who can come in the category of Toddy Tapper’s pension?

    You should be a member of the Toddy Co-operative Society (TCS). You can also be registered with the Tree for Taper’s scheme. These are the essential requirements that you should have for getting a pension of INR 2250 under this scheme. Furthermore, your age should be 50 years or above.

  2. What provisions are provided to single women under the YSR Pension Kanuka?

    If you are divorced/separated, then you will be able to apply for the monthly single women pension scheme. The age eligibility is 35 years old, but if you are unmarried and living in a rural area, you should be at least 30 years old for getting the advantage of the YSR Pension Scheme of Andhra Pradesh. Unmarried girls who are living in the urban areas should of at least 35 years old to be the beneficiary.

  3. What monthly amount is given to those who fall in the category of the chronic disease of unknown etiology (CKDEU)?

    Those who fall in the category of chronic disease of unknown etiology get the monthly pension amount of INR 10,000 for their dialysis treatment in government/ private hospitals.

  4. What documents are required with the YSR Pension Scheme application form?

    The following documents should be attached by the applicant with the YSR Pension Scheme application form:

    • Bank Passbook
    • Ration Card
    • BPL Card
    • ID Proof
    • Address Proof
    • Aadhar Card.


This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.

Is Suicide Covered Under Life Insurance Policy

Life insurances are your safety protocols. They are to support the family after their family member’s demise financially. But what if the insured individual dies by suicide? Will the assured sum still be paid to their family? Does life insurance pay for suicidal death in India?

Most policies cover suicidal deaths also. However, the death benefits are only available if the policy matures for 12 months, provided all premiums are paid. Even though unexpected events do not cause the death, the insurance company pays the assured sum to support the family on their loss. 

The insurer will provide no claims if they don’t approve the life insurance suicide cover in its policy. Therefore, It’s important to read the terms and conditions of the policies carefully before investing in them.

Types of life insurance provide suicide coverage

  • Most insurance plans excluded suicidal deaths and denied claims until 2014
  • Indian Regulatory and Development Authority of India (IRDAI) introduced a few major alterations in the regulations and allowed suicidal benefits under certain conditions
  • All types of insurance plans that include life as an element, such as wealth plans, savings plans, term life insurance plans, etc., provide suicidal death benefits
  • These insurance plans have rulings similar to that of the term life plans
  • However, a Unit-linked Insurance plan (ULIP) alone varies the value of return funds

How does the suicide clause work?

The suicidal clause provided death benefits to the beneficiaries of the insured individual if he/ she commits a suicidal death. The insurers provide these claims only if the insured individual dies after 12 months of the policy inception or reinstatement or revival of a lapsed plan.

Sometimes an insured individual purchases different loans and insurance policies to cover his/ her loans. Later they commit suicide, leaving the insurance company to pay the insurance money towards their loan. Strict regulations against suicides tend to limit such unethical activities and hence save the insurer from loss.

Provisions of suicidal death under the general insurance

The general insurance works under regulations before January 2014. Since suicidal death is a voluntary action, the insurance company regulates certain terms and conditions to avoid any fraudulent activities. 

According to the clause, general insurance does not provide any claim or suicide cover if the insured individual commits suicide within 12 months of purchasing the insurance plan. The insurance becomes void, and no funds are paid to the beneficiaries. The surrender value for death after 12 months also varies depending on the company policies. 

Why does an insurance provider provide suicidal claims?

Since suicide is a deliberate death decision, many may still wonder why does life insurance pay for suicidal death in India. Most companies answer these queries with empathy.

  • The insurance providers believe that any financial support during the loss of a family member can ease their grieving situation.
  • Most often, suicides happen due to financial debts and distress. In such cases, these funds can reduce the burden and provide moral support.

Exclusions of suicide cover under term insurance 

Even though suicide is not an accidental death, some insurance providers allow life insurance suicide cover. However, the insurance provider includes a few exclusions to avoid fraud. A few of those exclusions are mentioned below.

  1. If the insured individual dies due to suicide within the 12 months from the opening of the insurance policy, then no death benefits are provided. The beneficiaries receive 80% of the premiums paid within those 12 months.
    • This exclusion clause is not applicable if the insured individual is under 8 years of age.
  2. If the suicidal death of the insured individual occurs within the 12 months from the revival of the insurance policy, even then, no claims are provided. The insurance provider pays the beneficiaries more than 80% of the premiums the insured individual pays during their lifetime.
    • This clause is not applicable if the insured individual is under the age of 8
    • No funds will be paid if the premium isn’t paid under the policy.

New provisions as per life insurance plans:

Term insurance plans have updated their policies after January 2014 to meet the needs of their customers. The updated life insurance suicide clause provides financial aid to the beneficiaries even if the policy is under 1 year from the year of commencement.

According to the new provisions, 

  • If any insured individual purchases, revives or commences an insurance policy suicide within the 12-month timeframe, the family will still receive a certain amount. 
  • The value can either be 80% of the premiums paid by the insured individual or the surrender value of the policy, whichever is higher. Confirm the same from your insurer. 

Eligibility conditions to claim a suicide cover:

All Indians are eligible to have insurance plans and are eligible for suicidal cover also, provided the insurance provider mentions the suicidal benefits in the policy clauses. 

Under certain circumstances, the insured individual will not be eligible to receive any claims under the life insurance suicide clause. No claims are provided if,

  • The insured individual indulges in illegal or fraudulent activities during their lifetime.
  • The insured individual provides wrong or misleading information about themselves in the policy.
  • The insured individual’s account is insured under a group insurance policy. 


The death of any individual is grieving. Apart from the emotional loss, the demise of any family member creates a long-lasting impact on the lives of their loved ones. Even though the life insurance suicide cover provides financial support to the family after the insured individual’s death, that doesn’t make suicide right in any terms!

What if the insurer rejects/ denies to provide the assured sum? Are you going to let your family suffer in your absence? What about the emotional trauma they go through in your absence? Are they worth it? 

However, at unforeseen events, suicides happen. Even though there are so many awareness campaigns, it finally depends on those few decision-making moments. Make sure you read the policies before signing them, so your family receives the maximum benefit from them.


  1. What is a suicidal cover?

    The suicidal cover refers to the assured sum paid to the Insured individual’s beneficiaries after their suicidal death. This clause is only effective if the policy matures for over 12 months and the insured individual pays his premium regularly.

  2. Does group insurance allow suicidal death benefits?

    Generally, in a group insurance policy, members don’t get the benefits of suicidal cover after their death. It is recommended that you inquire about the same from your insurer. 

  3. How to claim the insurance benefits of the insured individual after their suicide?

    The beneficiaries can claim the funds by providing the necessary documents to the insurance company. The insurance provider will request the insured individual’s death certificate and confirm the reason for death, whether it was a voluntary death or not. Later the assured sum is paid to the family members.

  4. What happens to the loan taken against the insurance after suicidal death?

    The insured individual can take loans against their insurance policy. If they die due to suicide during their policy period, then the insurer will repay the loan on behalf of the insured from their assured sum, provided they have mentioned such clauses in their policies.


This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.

Difference Between Participating & Non Participating Policy

Introduction to Participating and non participating Life Insurance Plans:

Life insurance plans have several clauses and terms and it is quite obvious that you may not be familiar with all of these terms. Two very evident terms are participating and non participating insurance. Now, what exactly are they and how do they differ from each other? 

The profit provided to the policyholder is the primary difference between participating and non participating life insurance plans. On the one hand, the insurance company, under a participating life insurance plan, is liable to share the profit of insurance with the policyholder. However, under the non participating life insurance plan, the insurance company does not have to share any profit with the policyholder apart from the maturity benefits of the plan. Let’s understand them in detail in the further sections of this article. 

What is a Participating Life Insurance Plan?

You may have heard or read the term participating life insurance plan. So, what does the term ‘participating’ imply? First of all, you must know that it is also known as a ‘Par Life Insurance Plan’. Participating plans mean the life insurance plans “participate” in the company’s bonus. Thus, these plans are more expensive than non participating ones.

Under the Participating Life Insurance Plan, the insurance company is obliged to provide the policyholder with their share of the profit. Over the period, the insurance company makes a profit from the insurance premium paid by the policyholders. Because the policyholder is also participating in this plan, the company will share this profit in the terms of dividends or bonuses.

Technically participating life insurance plans are endowment plans with bonuses. The bonus could be a simple reversionary bonus, compound reversionary bonus, interim bonus, final additional bonus or terminal bonus. All bonuses depend on the performance of the company declared on an annual basis. It also depends on the type of the plan and the policy tenure. 

Even money-back or child plans can be participating in nature as there is a bonus component in some plans. 

How do participating plans work?

How does a Participating Life Insurance Plan work? How do you get it and how can you make use of it? The profit of a participating insurance plan is an additional benefit. The maturity benefit is also provided along with it. Let’s see how you can make the most of your insurance benefits-

  • The policyholder can choose to receive the participating insurance benefits in the form of payouts as and when agreed with the insurance company.
  • The benefits of participating benefits, received in the form of dividends or bonuses, can also be deposited to earn interest on it.

So, participating endowment plans have their maturity benefit defined as sum assured + accrued simple reversionary bonus + terminal/ final additional bonus, if applicable. In case of death of the insured within the policy tenure, even death benefit is paid out along with accrued bonuses and interim bonus, as the case may be, to the nominee.

Just to give you an idea, here is a reversionary bonus component of LIC (2020-21). The bonus rates are given as per INR 1000 of the Sum Assured.

Plan Name

Policy tenure

For Sum Assured <= INR 1 lakh

For Sum Assured > INR 1 lakh

Endowment Type Plans (Tables mentioned, i.e. plan names)

Less than 11 years



11 to 15 years



More than 15 years



Money Back Plans

20 years



25 years



So, in a participating endowment plan of 20 years with Sum Assured of INR 5 lakhs, the bonus declared is INR 38 per 1000 of Sum Assured, i.e. 38/1000*5,00,000 = INR 19,000. So, the maturity payout would be Sum Assured + declared bonus, i.e. INR 5 lakhs + INR 19,000 = INR 5,19,000. Thus, in this participating endowment plan, INR 5,00,000 was guaranteed but INR 19,000 was dependent on the company’s bonus rate declaration.

Non participating plan in life insurance 

In the non participating life insurance plan, the life assured is not able to take advantage of the profits of the insurance company that are earned by that company during the financial year. Therefore, the non participating plan is also known as a non par policy plan that does not offer payouts or dividend profits to the life assured. But the benefits of the insurance policy that are given to the life assured are pre-determined. These benefits are enjoyed by him/her when the insurance policy gets matured. They are not affected by the insurance company’s profit and loss in any way. 

Working of non participating plans 

The non participating plans are guaranteed benefits’ endowment plans without any element of bonus involved. So, the payout to the policyholder in case of maturity or earlier death is not affected by the insurance company’s financial condition. So, whether the insurer makes a profit or not, whether it declares a bonus or not, does not affect the predefined payout in a non par endowment plan.

In a non par endowment plan, the policyholder will receive a pre-determined maturity benefit at the end of the policy tenure. On earlier death, during the policy tenure, the nominee will receive the entire sum assured and the policy would terminate. There is no bonus payable in either case.

Differences between participating plans and non participating insurance plans:

Check out the differences between the participating and non participating life insurance plans to better understand the two-


Participating Plan

Non participating Plan


In the participating plan, the policyholder shares the profit of the insurance company. Therefore, this policy is also known as the policy with profit. 

In the non participating plan, the policyholder does not share the insurance company’s profit. Therefore, this policy is also known as the policy without profit.

Risk Oriented

This is a risk-oriented policy as the policyholder’s benefits do depend on the company’s profitability. The bonus component depends directly on the company’s profitability and is declared every year.

This is not a risk-oriented insurance policy as the policyholder’s benefits do not depend on the company’s profitability.

Guaranteed Maturity Benefits

The life insured receives a maturity benefit defined as sum assured + accrued simple reversionary bonus + terminal/ final additional bonus, if applicable. Bonus depends on the company’s profitability.

The life assured gets guaranteed returns when the insurance policy matures as the non participating plan is subject to the company’s profitability.

Death Benefit

Depends on the company’s profitability as Death Benefit = Sum Assured + accrued Bonuses + Interim Bonus, if applicable

Does not depend on the company’s profitability as Death Benefit = Pre-defined Sum Assured.

Non-guaranteed vs guaranteed benefits 

The non participating life insurance plan offers guaranteed benefits to the life assured. These benefits are enjoyed by the life assured when the policy matures. However, if the life assured dies within the policy tenure, then these guaranteed benefits are given to the nominee.

On the contrary, the participating life insurance plan offers non-guaranteed benefits to the life assured. These non-guaranteed benefits are given in the form of bonuses based on the insurance company’s annual performance. 


When planning to invest in a life insurance plan, you must understand each term so you do not have any confusion. Carefully analyze and then choose one among the par or non par life insurance as per your future financial goals. Typically participating plans are better especially if you have faith in the life insurance company that it will do well in the future, but since it is slightly more expensive than non participating plans, you need to choose according to your requirement. In the end, do not forget to give a thorough reading of the final insurance terms so you do not miss out on anything important. 


  1. What is a participating life insurance plan? 

    A participating life insurance plan or par life insurance shares the benefit of the life insurance between both the insurance company and the policyholder. It is paid in the form of a bonus or dividend. 

  2. What is a non participating life insurance plan?

    Under a non par life insurance plan, the policyholder is not entitled to receive any profit from the insurance apart from the maturity benefit of the plan. However, this is a non-risky plan as the benefit received is not affected by the profit made by the insurance company. 

  3. Is it risky to invest in a life insurance plan?

    Life insurance plans are considered to be one of the safest investment options. When considered par and non par insurance, the former is riskier compared to the latter. So, based on your requirements, you may choose one. 

  4. Can I use the benefits of participating in life insurance to pay my premiums? 

    Yes. The bonuses received as the profit of the par life insurance plan can be used by the policyholder to pay off their next premium. 

  5. Which is better: participating or non participating life insurance plan? 

    Both the plans have their pros and cons. On the one hand, you receive additional benefits under participating life insurance; on the other hand, there is no additional benefit under non participating life insurance. However, non par is also a non-risky plan when compared to the participating insurance plan. Thus, choosing one of these plans depends on your financial goal, risk appetite, and budget. 


This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.

What Is Pradhan Mantri Kisan Maan Dhan Yojana?

Introduction to PMKMY:

The Indian Government launched the Pradhan Mantri Kisan Mandhan Yojana (PMKMY) scheme in August 2019 to provide social security and protection to the farmers in their old age. It is a voluntary contribution pension scheme for marginal and small farmers (SMFs) to assist them when they age and are too weak to earn. 

  • Farming is a tedious and energy-consuming profession, when farmers become old they lose their livelihood with little or no savings left behind. 
  • The PMKMY scheme allows farmers from ages 18 to 40 to apply and invest a small amount of INR 55 to INR 200 per month. 
  • These financial contributions are accumulated into their pension funds. 
  • The beneficiaries can claim their pension money once they reach 60 years of age. 

PMKMY Policy Details

Here are some of the key highlights of the PMKMY scheme and its policies.


To provide social security and protection to the farmers in their old age

Eligibility criteria 

  • Marginal and small farmers who own a minimum of hectares of land
  • The farmer must be between the age group of 18 to 40 years

Monthly deposits

Ranging from INR 55 to INR 200 depending on the age they joined the scheme

Maturity age of the beneficiaries 

60 years

Pension amount

INR 3000 per month


At any unfortunate events like the death of the beneficiaries, the spouse would be eligible to receive about 50% of the funds accumulated for pension every month 

Who can apply for PMKMY?

PMKMY or Pradhan Mantri Kisan Mandhan Yojna is meant for all marginal and small Indian farmers with land not greater than about 2 hectares. Let us take a look at who can apply for PMKMY and the eligibility criterion that have to be fulfilled:

  • The scheme is for small and individual farmers between the age of 18-40 years who have own cultivated land of up to 2 hectares as per the records of the state land
  • Candidates must have their own Aadhaar Card
  • Candidates should have a savings bank account or PM-KISAN account 

Who is not eligible for PMKMY?

Not every marginal or small farmer is eligible for PMKMY. There are some farmers who are not eligible, like 

  • Farmers who have chosen the PM-LVM or the Pradhan Mantri Laghu Vyapari Maan Dhan yojana monitored by the Ministry of Labour and Employment.
  • Small farmers and marginal Indian farmers who have already registered under any other schemes like National Pension Scheme, Employees’ Fund Organisation Scheme, or Employees’ State Insurance Corporation Scheme, are not eligible for this scheme.

Documents Required for PMKMY

Following are the documents required for PMKMY:

  • Residential Proof: The candidates need to provide authorised residential proof like the Aadhaar card, Voter ID card, or ration card. 
  • Age Proof: To become eligible for the PMKMY scheme, the candidate needs to provide a photocopy of his/her age proof.
  • BPL Certificate: The candidate needs to submit a photocopy of their BPL certificate. 
  • Registration Certificate: It is important to submit a photocopy of the farmer’s registration certificate by the candidate. The certificate will serve as verification that the applicant falls within the marginal category.
  • Land Documents: The farmer needs to submit documents related to his land at the time of registration.
  • Bank Account Details: the candidate needs to submit his bank account details at the time of registration.

Benefits of PMKMY

Here are the different types of benefits that are provided by the PMKMY:

  1. General benefits

    According to PMKMY, the candidate is eligible to receive a minimum of INR 3000 as a monthly pension directly in the registered bank account, as soon as 60 years is attained. This will secure the future of the candidate in his retired life.

  2. Death Benefits payable to the beneficiary’s family

    Along with financial protection the PMKMY provides death coverage to the candidate too. Only the spouse is eligible to get about 50% of the original pension if the eligible candidate dies.

  3. Disability Benefits to the family

    There are many cases in which the eligible candidate, with a regular contribution to the PMKMY scheme, becomes disabled permanently well before attaining 60 years of age. In such cases, the options are

    1. The spouse can choose to continue to participate in the PMKMY after the policyholder dies by making regular contributions as previously.
    2. The spouse can leave the Scheme at any time and get the contribution portion, as well as any interest gained on it. The amount of interest earned will be larger than the interest rate offered by a savings bank or the income generated by the Pension Fund.

Benefits for candidates leaving PMKMY

Even if you want to leave the Pradhan Mantri Kisan Maan Dhan Yojana before the scheme’s maturity, you can still enjoy some benefits.

  • If you want to leave the scheme before ten years of joining PMKMY, you would get back all your monthly deposits but with no interest.
  • Suppose you leave the PMKMY scheme after ten years but before 60 years of age. In that case, you will receive all of your deposit money with the accumulated interest.
  • If the farmer dies within the scheme tenure and the spouse wishes to leave the scheme; in that case, she can receive the total deposits along with interest.

Steps to apply for PMKMY:

  • Step 1
    Interested SMFs who are willing to join the scheme are requested to go to the nearest CSC, also known as Common Service Centre.
  • Step 2
    The candidate needs to submit the following documents:
    • Copy of their own Aadhaar Card
    • Account Number of their Savings Bank with the IFSC code mentioned(Bank Passbook or copy of the bank statement as evidence)
  • Step 3
    The candidate needs to pay to the VLE i.e. the Village Level Entrepreneur the initial amount in cash.
  • Step 4
    For authentication, the VLE would then input the subscriber’s Aadhaar number, name, and DOB as displayed on the Aadhaar card.
  • Step 5
    To finish the registration by filling out the form online, the VLE will want information such as bank account information, mobile phone number, email address, spouse (if applicable), and nominee information.
  • Step 6
    The system automatically determines the monthly payment due based on the applicant’s age.
  • Step 7
    The candidate must pay the VLE the first fee for the subscription in cash.
  • Step 8
    The system creates the Enrolment Form which is also the form for Automatic Debit, which the subscriber must sign. The same will be scanned and uploaded into the system by VLE.
  • Step 9
    The subscriber is granted a unique KPAN number. It is the Kisan Pension Account Number which is unique and also a Kisan Card with all of the relevant information is issued.

Registration Process of PMKMY 

You can apply for PM Kisan Man Dhan Yojana with the online portal or from the local Common Service Center (CSC). You can apply through CSC by following the below steps.

  • Visit your nearest Common Service Center (CSC). Make sure you carry your Aadhaar Card Bankbook and chequebook with you. 
  • To make the first contribution, you would need to pay it in the form of cash to the VLE
  • The VLE will verify all your documents and will note your name, DOB etc. for application to the scheme
  • After verification and formalities, the farmer will get a Kisan Pension Account Number and a Kisan card. 

How to check your name on the nomination list?

If you want to check if your name is under the nomination list of the PMKMY scheme

  • Go to the official online portal of the scheme
  • Head to the Pradhan Mantri Kisan Man Dhan Yojana section
  • To check your name in the PMKMY scheme, enter your Subscriber ID 
  • If you could not find your name, check your Subscriber ID again and submit it.

Premium chart for PMKMY:

This chart shows the amount of government contribution and what you will have to pay each month depending on your age:


Last premium Depositing age

Beneficiary’s Monthly Contribution

Monthly contribution by the Central Government

Total Monthly Contribution




















































































































Pradhan Mantri Kisan Maan Dhan Yojana aims to provide social security and protection to the hardworking Indian farmers. This government-based pension scheme envisions upgrading the lives of the marginal and small farmers for all the years of farming and harvesting they did.

To make sure the farmers save funds for their retirement and secure their social well-being, the KMPMY scheme can be a great start. With voluntary monthly contributions and an equally matching contribution from the government, along with its other benefits, farmers are assured of a safe and secured future.


  1. Who is not eligible to join PMKMY?
    Any individual already enrolled in some other government scheme is not eligible to apply for PMKMY. Also, a person under 18 years of age and over 40 years of age is not eligible. 
  2. How much will this joining the scheme cost me? How can I pay my instalments?

    There is no extra fee for joining the PMKMY scheme. You only have to pay the monthly contributions. You can either choose monthly auto-debit from your bank account or you can choose quarterly or annual instalment options for the instalment payments. But, you will have to pay the first deposit in cash. 

  3. Can I enrol under the without providing proof of my age and income?

    You will have to provide an Aadhaar Card, and self-attested certificates for your age and income verification. Other than this, there is no need for any other document submission as age or address proof. However, make sure you submit a valid Aadhaar card and other details, as false information may lead to rejection of the application.

  4. What is a Pension Account Number?

    Every farmer under the PMKMY is assigned a unique Kisan Pension Account Number upon joining the scheme. It is unique to every farmer in the PMKMY scheme and is used as a reference for all future transactions. 

  5. How can I check my PMKMY account status?

    To get all the information about your account, you can log in to You can also visit your nearest CSC to know the updates on your account.


This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.

What Is Life Insurance Underwriting Process

The life insurance underwriting process determines whether the applicant is eligible to get the applied insurance policy or not. This is determined based on his/her physical as well as financial health. If the applicant is suffering from any critical disease, then he/she may not be considered eligible for purchasing the insurance policy. In the life insurance underwriting, the underwriter also analyses the financial condition of the applicant before approving the coverage and premium. The underwriter ensures that the applicant will be able to pay his/her insurance premium on time. In this way, the underwriter provides the policyholders with the best insurance schemes. 

What is underwriting in life insurance?

Underwriting in insurance is used to assess the risk. Therefore, the underwriters are called risk managers in insurance companies. They use some underwriting guidelines before providing the applicants with suitable insurance products. These underwriting guidelines are determined based on the mortality statistics. Hence, the underwriter analyses eligibility for the chosen insurance products based on the applicant’s age, salary, occupation, health, family size, hobbies, etc. 

In this way, the insurance companies provide that insurance coverage to the policyholders for which they are eligible. The underwriting process in insurance helps the insurance companies by not making them provide the underserved insurance coverage. 

Who underwrites an insurance plan?

An insurance underwriter works in an insurance company and assesses the overall risk on the life or health of the insured to check whether the premium offered is worth the risk on his life or health, as the case may be.

Thus, an underwriter’s basic job responsibility is to verify the insured’s data along with the documents submitted for any discrepancy and confirm if the insured is eligible for the insurance plan he has applied for. They can ask for more information, request medical examinations or conduct background checks for verification.

To know more about the roles and responsibilities of an Insurance Underwriter, click here. 

Life insurance underwriting types:

There are several types of underwriting processes. Read the pointers below to understand the various types of life insurance underwriting: 

  • Financial Underwriting

    Financial underwriting includes occupation, salary/wages, family size, ability to pay the premium, etc. When the underwriter approves the insurance plan for the applicant, he/she analyses whether the plan is appropriate or not according to his/her requirements. If the applicant purchases an insurance plan that is not under their budget, then, the underwriter suggests to him/her the best insurance product.

    In the underwriting process, it is ensured that the policyholder will be able to pay the premium of the life insurance policy on time. Therefore, the insurance products are given according to the applicant’s financial condition.

    A financial underwriter needs to check the following documents of the insurer:

    1. Proof of Income:
      1. Salary certificates, Form 26AS, ITR or Income Tax Return or TDS certificates
      2. Bank account or credit card statements, credit score, etc.
      3. P&L statement of a company along with AOA, MOA, Board Resolution, etc. as the case may be.
    2. Other identification documents:
      1. Copy of the PAN Card
      2. Copy of the Aadhaar Card
      3. Other utility bills such as gas, water, electricity or telephone bills.
    • Medical Underwriting

      Medical underwriting includes health, past health issues, family’s health history, lifestyle, and addictive habits (if any). The underwriter approves the insurance plan for the applicant by analyzing his/her medical condition in detail.

      If the insurer’s health risk is high, the premium would also be loaded, i.e. higher than standard. The insurer may even choose to postpone or reject an insurance plan if the health risk is considered to be very high. Alternatively, there could be waiting for a period or an exclusion clause for the higher elements of risk.

      A medical underwriter gathers details such as:

      1. Pre-existing ailments and other diseases
      2. The prescription of a medical practitioner or a doctor 
      3. MER (medical examination report) with tests and samples, as and when needed
      4. Medical history of the family.

      The medical underwriter checks all details along with the duly filled form, and analyse whether the insurance policy can be accepted at the said price point or not.

The underlying condition is to ensure that all relevant information is mentioned or disclosed right at the beginning of the policy.

Life insurance underwriting process 

The most important tools that are used in the insurance underwriting process are the insurance proposal form, questionnaire sales report, Aadhar card, PAN Card, income proofs (bank passbook, salary slips, income tax details, etc.), client confidential report (CCR) etc. 

Read the following steps of the process of underwriting in insurance: 

Step 1: Quality check of the proposal form:

  • Firstly, the information in the proposal form that has been filled will be checked. Hence, fill out the form carefully
  • Each detail is checked in accordance with the attached documents
  • After validating the details, the application form goes for the underwriting process
  • The underwriter analyses whether you will be able to pay the premium or not for the chosen insurance product

Step 2: Medical examination:

  • The results of the paramedical examination are checked if your insurance product requires any health proof
  • A simple health check-up is done by the doctor, which may include a blood test, drug test, and the basic measurements (height, weight, and size)
  • These medical reports are analysed by the underwriter before approving the insurance product

Step 3: Final Approval:

  • The entire underwriting process takes from 3 to 8 weeks
  • After validating all the details, the insurance plan is either approved or disapproved.
  • The insurance policy and its premium are confirmed if approved.

There are 3 possible underwriting in insurance decisions:

  1. Acceptance:
    When the risk is standard, the insurance policy is accepted at par without any loading of premium. 
  2. Postponement:
    If the risk is high but temporary in nature, then there could be a postponement in the life insurance policy till the risk lowers or is mitigated.
  3. Rejection:
    If the risk is so high that the insurance policy cannot be accepted, then the same is outrightly rejected.
  4. Counteroffer:
    If the risk is high and cannot be accepted at the standard rate, the insurance company could give a counter offer with either a reduction in tenure or sum assured, or an increase in the premium or a waiting period or exclusion, temporary or permanent in nature.

The risk factors considered in life insurance underwriting 

Check out the risk factors that are considered in the life insurance underwriting process:

  1. Age and gender of the insured
  2. Medical history of self and family:
    If you are diagnosed with any serious health issue, then, your application form will be rejected in the life insurance underwriting process. Critical health issues (diabetes 2, cardiovascular disease, etc) are considered genetic diseases. Hence, the underwriter analyses the family’s medical history as well to measure your health risks.
  3. The residency status i.e. resident India, NRI, PIO (person of Indian origin), etc.
  4. Body Weight:
    If you are overweight/obese, it means your possibility of suffering from serious health issues in the future is high. Hence, slightly higher rates of insurance premiums are determined by the underwriter during the underwriting process in insurance.
  5. Addictions:
    If you are addicted to smoking/drinking/drugs, it means you are associated with the risk factors of critical illness for the long term. In this case, the proposal form may not be accepted in the underwriting process. All drug abuse records are checked by the underwriter.
  6. Driving and accidental records
  7. Insurable interest in case the policyholder and the insured are different
  8. Income and net worth of the insured
  9. Hobbies such as adventure sports, hiking, car racing, etc.
  10. Occupation
  11. The geographical location of the residence
  12. The amount of coverage applied for along with the existing coverage
  13. Criminal records
  14. International travel
  15. Previous insurance application and rejection, along with reasons.

Implications of taking life insurance without underwriting

You should not take the insurance policy without the underwriting process as you will not be able to know whether the life insurance company will be able to provide your family with the risk cover or not if your risk exposure is high. The underwriting process in insurance determines how much insurance coverage the insurance company would be able to provide and at what premium rate. The insurance premium is computed based on your risk exposure. 

The underwriting process makes the insurance companies more credible as they settle the claims of the policyholders on time. In this way, the insurance companies are serving society.

Duration of the underwriting process in life insurance

The underwriting process in life insurance takes the time from 2 to 8 weeks. The underwriter examines the information that you have filled out in the proposal form and ensures that you will be able to pay the premium without any ado. If no fact is hidden by you, then your insurance policy and its premium will be confirmed easily. Therefore, share your details transparently with the insurance companies.

Bottom Line

If you are buying an insurance product, make sure you pick the one that matches your financial and medical condition. In this way, your proposal form will not be rejected in the process of underwriting in insuranceand you will be able to get the plan of your preferred insurance coverage at the affordable premium rates. Hence, choose the best life insurance plan that will be able to serve your family in the best possible manner if any kind of mishap happens to you.

With the technological advancements and availability of data coupled with artificial intelligence, risk elimination and selection could be a more systematic process with adjustments in the underwriting strategies and tools to suit the fast pace of the industry at large.


  1. If I hide my critical illness, will my insurance premium decrease?

    If you hide your critical illness, your insurance premium will not decrease because your medical examination will be done by a doctor. If in the medical test, it is found that you have tried hiding any medical fact, then your proposal form will be rejected in the life insurance underwriting process

  2. Can the insurance company deny settling my claim?

    Under most circumstances, the insurance company can not deny settling your claim. It is the fundamental duty of the insurance company to settle the claims on time. The main aim of the company is to serve the policyholders. However, if any discrepancy is found in the information given by you, then, the possibility of not settling the claim increases.

  3. How does the underwriter compute the premium amount?

    Firstly, the underwriter analyses the financial condition, lifestyle, and family size of the applicant. Then, the other risk factors i.e. age, family medical history, health issues, body weight, smoking habits, etc. are examined. Thereafter, the underwriter computes the premium rate based on the applicant’s financial condition and risk exposure.

  4. Which documents should I attach with my proposal form?

    Your insurer will request certain documents. You should keep the following handy:

    • Aadhar card
    • PAN card
    • Driving license
    • Residential proof
    • Bank passbook
    • Salary slips
    • Income tax documents with the proposal form.

    This article is issued in the general public interest and is for educational purposes only. The blogs should not be used as a substitute for competent expert advice from a licensed professional to best suit your needs. Insurance is a subject matter of solicitation. For more details on policy terms, conditions, exclusions, limitations, please refer/read policy brochure before concluding sale.