Indian Railways and the State Bank of India on Monday signed a Memorandum of Understanding (MoU) to provide enhanced insurance benefits to railway employees maintaining salary accounts with SBI. The agreement was signed in the presence of the Minister for Railways, Information & Broadcasting, Electronics & Information Technology, Ashwini Vaishnaw.
As part of the MoU, the insurance cover for accidental death has been increased to ₹1 crore. Earlier, employees were covered under the Central Government Employees Group Insurance Scheme (CGEGIS) with benefits ranging from ₹30,000 to ₹1.20 lakh depending on their group category.
In addition, railway employees holding salary accounts with SBI will also get natural death insurance coverage of ₹10 lakh without any premium or medical examination. Nearly 7 lakh railway employees are expected to benefit from the agreement.
The MoU also provides complimentary insurance covers, including:
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Air Accident (Death) Insurance of ₹1.60 crore plus an additional up to ₹1 crore on RuPay Debit Card.
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Personal Accident (Permanent Total Disablement) cover of ₹1 crore.
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Personal Accident (Permanent Partial Disability) cover of up to ₹80 lakh.
The initiative is being seen as an employee-centric and compassionate step, aimed particularly at frontline Group C railway personnel and others.
