If you work in Indian Railways and your salary account is in the State Bank of India (SBI), then there is some great news for you. Railways and SBI have entered into a historic partnership, under which you will now get an accidental death cover of ₹ 1 crore. This initiative has been taken to provide additional security and financial assistance to railway employees and their families. This new facility will bring a big change to the lives of employees.
Why was this big decision taken
Under an agreement between Railways and SBI, if an employee dies in any type of accident, his family will get a cover of up to ₹ 1 crore. According to a press note issued by the Ministry of Railways, this agreement has tremendously improved the insurance coverage of railway employees with a salary account in SBI.
This step is considered to be an important initiative for the welfare of the employees from both SBI and Railways. The agreement took place in the presence of Minister of Railways, Information and Broadcasting, Electronics and Information Technology Ashwini Vaishnav, Chairman of Railway Board Satish Kumar, and Chairman of SBI CS Shetty.
What are the key rules of this scheme
Under this agreement, the accident death insurance benefit has been increased for Group A, B, and C employees covered under the Central Government Employees Group Insurance Scheme (CGEGIS). Earlier, this amount was ₹ 1.20 lakh, ₹ 60,000, and ₹ 30,000, respectively, which have now been increased to ₹ 1 crore.
According to the Railway Ministry, this agreement includes many more big insurance covers.
Air accident insurance (death) coverage:- ₹ 1.60 crore
Additional coverage on RuPay debit card:- ₹ 1 crore
Personal accident (permanent total disability) coverage:- ₹ 1 crore
Personal accident (permanent partial disability) coverage:- Up to ₹ 80 lakh
Railway employees with a payroll account in SBI are now also eligible for free natural death insurance coverage of ₹ 10 lakh. The ministry said that no premium or medical examination will be required for this. This step is a big and commendable effort to make the lives of railway employees safe.