IMPACT ASSESSMENT OF JEEVAN JYOTI BIMA YOJNA AND SURAKSHA BIMA YOJNA MICROINSURANCE POLICIES AMONG LOWER INCOME POPULATIONS IN INDIA

Abstract

Microinsurance refers to a variety of insurance products available for low-income individuals or households with low savings, offering protection for smaller assets as well as coverage against risks like illness, accidents, or death. The study is based on the impact assessment and claim effectiveness of Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY) among Lower Income populations. Multi linear regression and one sample T test research techniques have been used in order to make inferences and draw conclusion. The regression results highlight that both PMJJBY and PMSBY play a positive role in improving the savings potential of lower income groups. The moderate correlation (R = 0.591) suggests that while these schemes do contribute to building savings, they are not the only factors. Other economic and social factors—such as employment stability, household income, access to financial services, and expenditure patterns—are also likely to influence savings behavior. The results show that both PMJJBY and PMSBY have effective claim processes. Respondents perceive that claims under these schemes are generally processed well, which reflects positively on the government’s effort to build trust in low-cost insurance programs. The fact that both schemes were found to be effective suggests that the claim settlement mechanism is functioning as intended and that beneficiaries recognize its usefulness. In conclusion, PMJJBY and PMSBY have the potential to provide meaningful financial protection to lower-income households. However, their full effectiveness depends on addressing gaps in impact and claim efficiency. Focused improvements, combined with policy support and regular monitoring, can strengthen these schemes and enhance their impact on social security. The study highlights that targeted efforts toward education, financial literacy, and customised interventions for vulnerable populations can transform these insurance programs into sustainable tools for financial inclusion and poverty reduction.