Announced in railway budget 2016-17, the travel insurance scheme for the passengers has been launched by the Indian Railways. Under the new scheme, railway is providing an insurance cover of Rs. 10 Lakh at a premium of mere 92 Paise. The premium can be paid while booking a ticket from irctc website. The insurance is however optional, it is up to you to opt for the insurance cover.
The facility is available to all those booking e-tickets and traveling by passenger trains except suburban trains. The facility is available irrespective of the class. The insurance cover would not be applicable to children below 5 years of age and foreign citizens. The scheme will be applicable for passengers holding confirmed, RAC or wait listed ticket.
Indian Railways Passenger Travel Insurance Scheme
Under the scheme, the insurance company would pay the nominee a sum of Rs. 10 Lakh in case of death or total disability. 7.5 Lakh in case of partial disability, upto Rs 2 lakh for hospitalization expenses and Rs 10,000 for transportation of mortal remains from the place of a train accident or where an untoward incident, including terrorist attack, dacoity, rioting, shootout or arson, occurs. The premium will not be refunded in case of cancellation of the ticket.
Pilot Project for Indian Railway Passenger Insurance Scheme
Indian Railway had started the pilot of Passenger Insurance Scheme from September 2016 to provide an insurance cover of Rs. 10 Lakh to the passengers with a minimal premium of just 0.49 paise per ticket. An insurance cover of Rs. 10 Lakh will be provided in case of permanent disability or death caused in a train accident.
To implement the scheme, IRCTC had shortlisted 17 insurance companies out of which 3 were finalized. These insurance companies are providing insurance cover to the passengers. Plans of introducing an insurance scheme for passengers was announced in 2016-17 budget.
Insurance Coverage Amount
The following insurance cover will be provided under the passenger insurance scheme
– Rs. 10 lakh in case of permanent disability or death
– Rs. 7.5 lakh for partial disability or injuries
– Rs. 5 lakh for hospitalization
– Rs. 10,000 for transportation of mortal remains
The passengers booking tickets online can opt for the insurance. The premium amount will depend upon the duration or the distance of the journey.
The scheme first was launched on pilot basis and is applicable in case of online booking of the ticket. For more details, visit the official scheme link at http://contents.irctc.co.in/en/InsuranceTermCondition.pdf.